I haven't done much in the way of rust for a while, back when I was making some GorkaMorka stuff years ago and a few pieces for another skirmish game, I'd found that you can take a small amount of fine sand and work it into a decent amount of a dark, dull red, you can stipple that on followed by a terracotta/red orange light drybrush, you can get a pretty decent rust effect.
For my undead, I've used more of a patina look for armor and weapons which I tend to like more there, and that's more of a paint in copper or bronze and then take a good patina color (mix one up or use some turquoise) and thin it down with rubbing alcohol rather than water to a bit thinner than normal for painting, and working it in. Tends to leave you with a more patina effect when it dries.