USDA loans are a bit different than most of the other loan products you see out there. With USDA you have to qualify by having LOW income amounts, as USDA is designed to help low- to moderate-income people get into affordable housing. USDA has two different loan programs--Direct and Guaranteed. Direct requires the TOTAL income of all occupants over 18 be LESS THAN 80% of the "Area Median Income" (AMI) which, for the Phoenix area is set at $60,000 for three adults (80% * $60,000 = $48,000). Guaranteed requires the TOTAL income to be less than 115% of the AMI.
There are a number of other guidelines to be met for these loans, but that is not what you are asking about, so just be aware.
So, sure your parents' income can be counted; it must be counted.
Good luck. Let me know if I can help any further.
Bill Parker, Loan Officer
AZ Lic# 09011570
CPA--Licensed, no longer practicing
Legacy Group Lending, Inc.
15333 N. Pima Road, Suite 300
Scottsdale, AZ 85260
(O) 480-993-3080; (M) 602-565-3646; (F) 480-993-3081
MISSION STATEMENT: To create an unbelievably enjoyable experience for my clients, while guiding them through the most important financial transactions of their personal lives. My clients know me as their Mortgage Lender for Life. I truly appreciate your referrals.
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Red Adair, Oil well firefighter