Last updated: June 10, 2026
Your roof is leaking, the furnace is out, the wiring is unsafe, or the septic system is failing, and the repair bill is more than your rural household can pay. USDA Section 504 may help, but it is narrow, local, and not fast emergency cash.
Quick facts about USDA Section 504
Section 504 is a federal rural home repair program run by USDA Rural Development. The official name is the Single Family Housing Repair Loans and Grants program. The USDA program page is the national starting point, but your local USDA office makes the practical decision on your file.
| Question | Current USDA rule or practice |
|---|---|
| Who is it for? | Very-low-income homeowners in eligible rural areas who own and occupy the home. |
| Loan maximum | Up to $40,000 under the regular Section 504 program. |
| Loan terms | Fixed 1 percent interest, repaid over up to 20 years. |
| Grant maximum | Up to $10,000 lifetime grant under the regular program. The homeowner must be age 62 or older and unable to repay a loan. |
| Loan and grant together | USDA lists a regular combined maximum of $50,000 when a person qualifies for both. |
| Disaster-related amount | USDA lists a higher lifetime grant cap of $15,000 and combined cap of $55,000 for some presidentially declared disaster areas. |
| Where to apply | Through the local USDA Rural Development office, not through a private grant website. |
| Application timing | USDA accepts applications year-round, but approvals depend on eligibility, local review, and available funding. |
If the home is unsafe right now
Do not wait for a repair application if there is immediate danger. Call 911 for fire, smoke, collapse risk, live electrical hazards, carbon monoxide, or a medical emergency. If you smell gas, leave the home and call the gas company from outside.
If you have no heat, no cooling during dangerous heat, a shutoff notice, or unsafe utility service, call your utility company and local community action agency. The LIHEAP page explains federal energy help, and local agencies decide what is available where you live. You can also call 211 and ask for emergency repair, utility, weatherization, disability, senior, or disaster referrals.
USDA Section 504 can help with serious repairs, but it is not built for same-day emergencies. Use emergency services first, then work on USDA and backup applications once people are safe.
What USDA Section 504 can help with
Section 504 has two parts. The loan part can help eligible rural homeowners repair, improve, or modernize a home. The grant part is more limited. Grant money is for eligible homeowners age 62 or older, and it must be used to remove health and safety hazards or make the home more accessible for a household member with a disability.
This program works best when the repair is tied to safety, basic use of the home, sanitation, weather protection, or access. It is not meant for luxury remodeling, cosmetic upgrades, additions, or repairs that still leave the home unsafe when the work is done.
USDA is a federal agency, but Section 504 is not handled only from Washington, DC. Local and state Rural Development offices review local address eligibility, income, ownership, repair need, funding, and any extra state requirements. A home may look rural to you but still need a USDA rural eligibility decision.
Who may qualify
There is no single national income number for Section 504. USDA uses county and household-size income limits. Use the USDA income limits tool as a starting point, then ask the local office to check your exact household.
| Rule | What it means | What to check |
|---|---|---|
| Rural address | The home must be in an eligible rural area. | Use the USDA address tool, but remember USDA makes the final decision after a full review. |
| Own and occupy | You must own the home and live there. | Gather deeds, tax bills, mortgage papers, title papers, or other proof. |
| Very-low income | Your adjusted income must be at or below USDA’s very-low-income limit for your area. | Ask the local USDA office how it counts income for your household. |
| Credit elsewhere | You must be unable to get affordable credit from other sources. | USDA may look at income, debts, assets, and credit history. |
| Loan repayment | For a loan, USDA must decide that you can repay it. | Expect questions about income, debts, taxes, insurance, and bills. |
| Grant age rule | For a grant, at least one qualified applicant must be age 62 or older. | Have proof of age ready if you ask about the grant. |
| Grant need rule | A grant is generally for a homeowner who cannot repay a Section 504 loan. | Ask whether you may qualify for a grant, loan, or both. |
| Citizenship or status | Applicants must meet USDA citizenship or qualified legal status rules. | Ask the office which proof is needed for your case. |
How much help may be available
The current regular Section 504 loan limit is up to $40,000. The current regular Section 504 grant limit is up to $10,000 over the homeowner’s lifetime. USDA lists a combined regular loan and grant limit of $50,000 when the person qualifies for both.
For certain presidentially declared disaster areas, USDA lists a Section 504 disaster grant limit of $15,000 and combined loan and grant limit of $55,000. Disaster rules can change, and the local USDA office must tell you which rule applies to your county and damage.
| Type of help | Current amount | Important limit |
|---|---|---|
| Regular Section 504 loan | Up to $40,000 | Fixed 1 percent interest for up to 20 years. USDA may require title work for larger balances. |
| Regular Section 504 grant | Up to $10,000 lifetime | For eligible applicants age 62 or older who cannot repay a loan. If the property is sold in less than three years, the grant may have to be repaid. |
| Regular loan and grant | Up to $50,000 combined | USDA decides whether you can receive both based on repair need, income, age, and repayment ability. |
| Section 504 disaster grant | Up to $15,000 lifetime | Applies only in certain disaster situations and areas. Ask the local office before assuming it applies. |
| Section 504 disaster loan and grant | Up to $55,000 combined | USDA must confirm the disaster status, repair need, and local funding. |
Tip: A maximum is not a promise. Your approval can be lower than the cap, delayed by funding, or denied if the repair does not meet program rules.
Repairs that may qualify
USDA rules allow loan funds for repairs, improvements, and modernization when the home will remain modest. Grant funds are narrower. They must remove health or safety hazards or make the home accessible and usable for a household member with a disability. The 7 CFR repair rules describe the federal limits, and local USDA staff apply them to your home.
Examples that may fit the program include:
- Roof repairs needed to stop leaks and protect the home.
- Electrical repairs where wiring, panels, or service are unsafe.
- Heating, cooling, or ventilation work tied to health and safety.
- Water, well, plumbing, septic, or sewer problems.
- Structural, foundation, floor, stair, or porch hazards.
- Accessibility changes for a household member with a disability.
- Repairs needed to meet local health or safety code.
- Some essential equipment, such as a stove, refrigerator, permanent generator, washer, or dryer, when USDA rules allow it and it is not the main purpose of the request.
- Some site work, storm shelters in eligible storm areas, or related work when tied to safety and program rules.
Repairs or costs that may not be covered
Section 504 is not for every home project. USDA rules generally do not allow a new dwelling, luxury improvements, repairs that still leave major hazards, moving a manufactured home under the regular program, off-site work except certain utilities, or paying for a for-profit company just to package or refer your application.
Do not sign a contract or pay a contractor because someone says USDA will reimburse you. Ask the USDA office what approvals are needed before work starts.
Mobile and manufactured homes
A manufactured home can sometimes qualify, but this is one of the most common problem areas. Under federal rules, the applicant must own the manufactured home and the site, must have occupied the home before applying, and the repair must remove health and safety hazards. The home must also be on, or be placed on, a permanent foundation when USDA requires it.
If you own the home but rent the lot, have missing title papers, inherited the home without clear probate, or live on land owned by a relative, do not guess. Ask the local USDA office what proof is needed. A legal aid program found through the legal aid finder may be able to help with title, deed, heirs property, or contractor problems before you lose time on an incomplete application.
Where and how to apply
You apply through USDA Rural Development, usually through the office that serves your county. You do not apply through a private grant directory. Start with the field office locator or the USDA state office, then ask for the Single Family Housing repair loan and grant staff.
- Check the address. Use USDA’s rural address tool first. Treat it as a screening tool, not a final approval.
- Call the local office. Tell them the county, repair problem, age of the owner, and whether the home is owner-occupied.
- Ask about intake. USDA lists optional intake forms, including Form RD 3550-35 and Form RD 3550-1. Staff can tell you if they want those first or a full application.
- Get the right forms. USDA lists Form RD 410-4 for a full application, plus other forms and a checklist. The USDA eForms site can help you find current forms, but your local office should confirm which ones apply.
- Gather proof. Do not send the office a pile of random papers. Use the office checklist and label each document.
- Wait for review. USDA may ask for more income, ownership, repair, contractor, or title information.
- Do not rush construction. Ask USDA when work may begin, who may do it, and how payment will be handled.
Call script for USDA
Hello, I own and live in a home in [county, state]. I am asking about USDA Section 504 Home Repair Loans and Grants. The repair is [roof, septic, heat, wiring, accessibility, or other repair]. Can you tell me if I should complete the intake form, what documents you need, and whether this repair may be treated as a health or safety hazard?
Documents to gather before you apply
The exact checklist can vary by office and by state. USDA also says individual states may have particular requirements. Still, most homeowners should be ready to prove identity, income, ownership, household size, assets, debts, and repair need. The 7 CFR eligibility rules explain the core federal eligibility standards, while your local office tells you what documents it needs.
- Photo ID and proof of age if a grant is requested.
- Proof that you own and live in the home.
- Mortgage, tax, insurance, or land contract papers, if any.
- Income proof for household members, such as benefit letters, pay stubs, pension letters, or tax records.
- Bank and asset records if USDA asks for them.
- Recent bills or debt information if loan repayment will be reviewed.
- Repair photos, inspection notes, code letters, contractor estimates, or hazard descriptions.
- Disability or accessibility documentation if the request is for access needs.
- Manufactured-home title, site ownership, and foundation information if relevant.
Practical tip: Put your name, phone number, county, and repair type on every packet you send. Keep copies of everything. Write down the date, time, and name of each person you speak with.
Inspections, estimates, and contractors
USDA and local codes can affect what work is approved. The home does not always have to be made perfect, but all major health and safety hazards tied to the approved work must be addressed. If the repair plan leaves the home with major hazards, the project may not qualify.
Ask the USDA office whether it needs written estimates, contractor license information, proof of insurance, permits, photos, or an inspection. If a contractor pressures you to sign before USDA reviews the file, slow down. A cheaper estimate is not always better if it leaves out permits, safety work, cleanup, or code needs.
Delays, waitlists, and denials
USDA accepts applications year-round, but that does not mean money is available the day you apply. Approval times depend on funding, local workload, missing documents, title issues, repair complexity, and whether your project is a health or safety priority.
USDA guidance says optional intake forms should be processed within 30 days when received, but that is not the same as final approval. Federal rules also allow USDA to accept applications even when funding is not available. When funding is short, health and safety repairs have priority. If two requests are otherwise equal and received on the same day, veterans preference may matter.
Common reasons applications get stuck or denied
- The address is not USDA rural eligible.
- The household income is above the very-low-income limit.
- The applicant does not own and occupy the home.
- The grant applicant is under age 62.
- The repair is mainly cosmetic or not tied to safety, access, sanitation, or basic use.
- The home would still have major hazards after the proposed repair.
- The manufactured-home title, land ownership, or foundation does not meet the rule.
- The application is missing income, ownership, estimate, or signature pages.
- The loan request fails repayment or credit review.
- Local funds are not available yet.
If you receive a denial, ask for the reason in writing. Ask if the problem can be fixed with documents, a different repair scope, or another program. If it is an adverse USDA decision and you disagree, the USDA appeals office explains the National Appeals Division process. USDA says an appeal request is generally due within 30 calendar days after you receive the adverse decision, so use the file an appeal instructions quickly if that applies.
Call script for a delay or denial
I received a delay or denial on my Section 504 request. Please explain the exact reason in writing, what documents could fix it, whether I am still on a waitlist, and what appeal or review deadline applies.
If the repair is from a disaster
After a presidentially declared disaster, do not rely on one program. Start with insurance if you have it, then check the federal disaster application at disaster help and local emergency management. USDA may have Section 504 disaster amounts, and it also has a separate USDA disaster program for certain damaged rural homes. Rules, dates, counties, and duplication-of-benefits rules matter.
The SBA may also offer SBA disaster loans for eligible homeowners and renters after declared disasters. SBA loans are not grants. They can be useful for major uninsured damage, but they add debt and must be reviewed carefully.
Call script after a disaster
My home was damaged in [disaster name] in [county]. I am checking FEMA, insurance, USDA, and SBA. Can you tell me whether Section 504 disaster repair help or the separate USDA disaster repair program is open for my county, and what proof of damage I need?
Backup options if Section 504 is too slow or not a fit
Many homeowners need more than one path. Section 504 is only for eligible rural owner-occupied homes, and funding can be limited. If your need is urgent, your address is not eligible, or your repair does not fit USDA rules, try these safer starting points.
| Need | Where to start | What to ask |
|---|---|---|
| Energy bills, unsafe heating, or weatherization | DOE weatherization page | Ask for the local weatherization agency and whether health and safety measures are included. |
| Utility crisis, no heat, or cooling danger | Local LIHEAP agency | Ask about crisis aid, furnace help, cooling help, and minor energy-related repairs. |
| You do not know who serves your county | Local 211 referrals | Ask for emergency repair, senior repair, disability access, weatherization, and nonprofit referrals. |
| Mortgage, foreclosure, reverse mortgage, or repair financing questions | HUD counseling page | Call 800-569-4287 and ask for a HUD-approved housing counselor. |
| Need a nearby housing counselor | CFPB counselor tool | Search by ZIP code and ask about low-cost or no-cost counseling. |
| Older adult needs help navigating options | Eldercare Locator | Call 800-677-1116 and ask for the Area Agency on Aging or tribal aging program. |
| Nonprofit repair help | Habitat home repairs or Rebuilding Together affiliate | Ask if they serve your ZIP code and whether they handle your repair type. |
Call script for 211 or an aging agency
I am a homeowner in [county]. My home has [no heat, unsafe wiring, failed septic, roof leak, accessibility problem, or other issue]. I am checking USDA Section 504, but I may need faster local help. Are there emergency repair, weatherization, LIHEAP, senior, disability, veteran, tribal, or nonprofit programs here?
Scams and unsafe financing
Be careful with anyone who says they can get you a guaranteed government grant for a fee. The FTC grant scam guide warns that real government grants do not come from surprise calls, social media messages, or requests for gift cards, wire transfers, crypto, or upfront fees.
Home repair scams often rise after storms, floods, fires, and heat waves. The FTC home repair scams guidance says to check licenses and insurance, get more than one written estimate, use a signed contract, and avoid cash or wire payments. Its disaster scam guide also warns against blank contracts, pressure to sign over insurance checks, and people charging a fee to apply for FEMA.
Be careful with high-cost loans, contractor financing, tax-lien loans, and reverse mortgages. A reverse mortgage may help some homeowners age 62 or older, but the reverse mortgage guide explains that the balance grows and the loan can become due if you stop living in the home or fail to meet loan terms. Talk to a HUD-approved counselor before using your home equity to fix a repair problem.
To report fraud, contact the FTC at 1-877-382-4357 or TTY 1-866-653-4261. If a contractor took money and did not do the work, also ask local legal aid, your state attorney general, and local building officials what steps are available.
FAQ
Is USDA Section 504 a grant for everyone?
No. The grant part is for eligible rural homeowners age 62 or older who cannot repay a loan. Grant funds must remove health and safety hazards or help make the home accessible and usable for a household member with a disability.
Can I get both a loan and a grant?
Possibly. USDA may combine a loan and grant when the homeowner qualifies for both and the repair need supports it. The regular combined cap is $50,000, and USDA lists a disaster combined cap of $55,000 for some qualifying disaster situations.
Do I have to repay the grant?
A Section 504 grant is not repaid month by month like a loan. But USDA says the grant may have to be repaid if the property is sold in less than three years.
What is the loan interest rate?
The Section 504 loan is fixed at 1 percent interest and can be repaid over up to 20 years. USDA must decide that you can repay the loan.
Can a manufactured home qualify?
Sometimes. The applicant must own the manufactured home and the site, must have occupied the home before applying, and the repair must remove health and safety hazards. USDA may also require a permanent foundation.
What should I do if I am denied?
Ask for the denial reason in writing. Ask what can be fixed, what other programs may fit, and what appeal deadline applies. USDA adverse decisions may have a short appeal window, so do not wait.
About This Guide
This HomeRepairGrants.org guide uses official federal, state, local, and high-trust nonprofit and community sources mentioned in the article, including USDA Rural Development, federal regulations, USDA appeal information, energy and housing counseling sources, 211, legal aid, and nonprofit repair organizations.
HomeRepairGrants.org is not a government agency. This guide does not guarantee eligibility. It is not legal, financial, tax, medical, insurance, disability-rights, or government-agency advice. Program rules, funding, forms, income limits, and local practices can change. Always confirm your own case with the agency or qualified professional that serves your area.
Corrections: Email info@homerepairgrants.org with corrections.
Next review: August 17, 2026