All USDA loans (purchase and refinance) require a one-time Guarantee Fee that is added to the borrowers loan. The current amount of the USDA guarantee fee is 2%. Example – if a borrower was purchasing a home 100% financing for $150,000, the adjusted loan amount with the 2% USDA guarantee fee would be $153,000. $3,000 added to the base loan amount. In addition to this one time Guarantee Fee, USDA loans also require a annual fee that is added to the monthly mortgage payment. Basically the “annual fee” is monthly mortgage insurance – or more commonly known as “PMI” Again, like the above it can have many different names. The current amount of this fee is .5%.