Rural Development’s Direct and Guaranteed Loan Programs provide rural residents an opportunity to make a house become a home. Our Direct Loan Program provides a path to homeownership for low- and very-low-income families living in rural areas who would not qualify for conventional home mortgages. Our Guaranteed Loan Program gives local lenders the opportunity to make home loans to eligible low and moderate income families living in rural areas. Providing affordable homeownership opportunities promotes prosperity, gives stability to families, and attracts new employees for expanding businesses. This, in turn, creates thriving communities and improves the quality of life in rural Colorado. So far this year,1140 rural homeowners have found that special place to call home through Colorado Rural Development. Remember, whether you choose a direct or guaranteed loan, USDA’s programs offer buyers a low, fixed interest rate, with no mortgage insurance or no down payment. USDA loans.