USDA Rural Development · Section 502
USDA loan guarantee fee calculator.
Estimate the upfront guarantee fee, the loan total when you finance it, and the monthly annual-fee add-on in year 1 and a later year.
Loan details
Estimated fees
How the fees are calculated
Upfront fee. USDA Rural Development lists 1.00% for a new Section 502 guaranteed loan. If the whole fee is financed, the handbook computes the total loan as base loan ÷ (1 − 0.01), and the fee as 1% of that total. For example, a $100,000 base loan becomes $101,010.10 with a $1,010.10 fee.
Annual fee. The rate is 0.35% of the average scheduled unpaid principal balance, taken from the original amortization schedule. This tool averages the 12 scheduled balances at the start of each month in the chosen loan year, multiplies by 0.35%, and divides by 12 for a monthly figure. The averaging method and how a lender collects the fee are estimates and can differ.
Official sources: RD Instruction 440.1, Exhibit K (fees for guaranteed loans); HB-1-3555, sections 16.4 and 16.5; 7 CFR 3555.107(g) and (h).
Rates as published on September 30, 2026. Exhibit K prints no effective date, and USDA can change the fees by notice, so confirm with your lender. This is a fee estimate, not an eligibility check, loan offer or financial advice.