USDA Section 504 Home Repair Loans and Grants

About This Program

Provides loans (up to $40,000 at 1% fixed interest over 20 years) and grants (up to $10,000 lifetime for homeowners 62+) to very-low-income rural homeowners to repair, improve, or modernize homes or remove health and safety hazards. Loans and grants can be combined for up to $50,000 in assistance. Note: Phoenix is generally not considered 'rural' under USDA guidelines, but some outlying Maricopa County areas may qualify; confirm eligibility with the local USDA office.

Phoenix proper typically does not qualify as rural. Grants are lifetime limit for homeowners 62+. Income must be below 50% AMI (very low income) for grants; up to 50% AMI for loans.

Key Details

• Grants up to $10,000 (lifetime) for homeowners age 62+ — very-low income
• Loans up to $40,000 at 1% fixed interest over 20 years
• Combined loan + grant up to $50,000 in assistance
• Income ≤ 50% AMI (very-low income) required
• Rural areas only — confirm Phoenix-area eligibility with local USDA office

How to Apply

Deadline: Rolling — contact local USDA RD office