Question 1

Can I use an FHA loan on an older Amador City home?

Accepted Answer

Yes, but the home must meet FHA's minimum property standards. Older homes with deferred maintenance can fail appraisal.

Question 2

Which loan has a lower down payment?

Accepted Answer

FHA allows 3.5% down with a 580 credit score. Conventional goes as low as 3%, but you need stronger credit to qualify.

Question 3

Does FHA mortgage insurance ever go away?

Accepted Answer

On most FHA loans, annual MIP lasts the full loan term. The only exit is refinancing into a conventional loan once you have enough equity.

Question 4

What credit score do I need for a conventional loan?

Accepted Answer

Lenders require a minimum 620 score. Best pricing kicks in around 740 and above.

Question 5

Which loan is better for a first-time buyer in Amador City?

Accepted Answer

FHA is often easier to qualify for with limited credit history. But if your credit is solid, conventional can cost less over time.

Conventional vs FHA Loans in Amador City, CA