Loading
in Lafayette, CA
Lafayette's $1.5M+ median home prices make your loan choice critical. Veterans can skip down payments entirely with VA loans, while conventional borrowers need 3-20% cash upfront.
Both programs work well in Lafayette's competitive market. The right choice depends on your military service status, savings, and how long you plan to stay.
Conventional loans give you access to any property type without appraisal restrictions. You can buy condos, investment properties, or second homes with one loan program.
Put down 20% and you skip mortgage insurance entirely. Go below that threshold and you'll pay PMI until you hit 20% equity, which you can request to remove.
Credit requirements start at 620, but Lafayette's price points usually demand 680+ for competitive rates. Most of our Lafayette borrowers need stronger profiles to handle $800K+ purchases.
VA loans let eligible veterans and active-duty members buy with zero down. There's no mortgage insurance either — just a one-time funding fee that rolls into your loan.
VA appraisals protect you but can kill deals. The appraiser checks for safety issues that Lafayette sellers sometimes refuse to fix, especially in older homes near downtown.
You'll pay a funding fee of 2.15% on first use with zero down, or 1.25% with 10%+ down. Disabled veterans get this waived completely.
Down payment separates these programs most. VA needs nothing upfront while conventional requires 3-20%. On a $1.2M Lafayette home, that's $36K-$240K in cash.
VA loans restrict you to primary residences only. Conventional works for investment properties, vacation homes, and multi-unit buildings up to four units.
Both programs offer similar rates when you qualify. VA edges ahead slightly because the government guarantee reduces lender risk, but the difference is usually under 0.25%.
Use your VA benefit if you have it and you're buying a primary residence. The zero down payment and no PMI save you $50K-$100K upfront on Lafayette purchases.
Go conventional if you're buying investment property, need a second home, or the property won't pass VA appraisal standards. Also your only choice if you're not military-affiliated.
Some Lafayette buyers blend both. They use conventional for a first property, save their VA benefit for a bigger purchase later when they've built equity and income.
Yes, VA loans have no maximum purchase price in high-cost areas like Contra Costa County. You'll need income to qualify for the payment, but there's no loan cap.
Sometimes yes. If the property needs work or sellers are wary of VA appraisals, conventional with 20% down can win deals VA loans would lose.
VA requires 620 minimum, conventional 620-640 depending on down payment. For Lafayette's prices, we recommend 680+ for either program to get competitive rates.
The fee doesn't disappear but it drops significantly. With 10%+ down it falls from 2.15% to 1.25%, saving $10,800 on a $1.2M loan.
Both close in 25-35 days typically. Conventional edges ahead slightly since VA appraisals sometimes require re-inspections for property repairs.