For both the USDA Guaranteed and Direct loans, if your property is not in a USDA-approved rural area, you will not be approved. Additionally, with a USDA Guaranteed loan, if your income is more than 115% of the average median income for your area or if you cannot prove a steady source of income, your application can be denied.
Direct loan applicants must have incomes between 50% and 80% of the average median income to qualify.