Question 1

Can I use USDA loans anywhere in Martinez?

Accepted Answer

No, only specific zones qualify. Areas east of Highway 680 have better eligibility. We verify your exact address against current USDA maps before starting the application.

Question 2

Which program has lower mortgage insurance?

Accepted Answer

USDA charges 0.35% annually versus 0.55% for FHA. That saves about $50 monthly on a $400,000 loan, but FHA works in more locations.

Question 3

Do both loans allow seller credits?

Accepted Answer

Yes, both programs let sellers cover up to 6% of closing costs. This helps if you have down payment funds but limited cash for fees.

Question 4

What income limits apply to USDA loans in Contra Costa County?

Accepted Answer

Household income can't exceed roughly $103,500 for a family of 1-4. Limits adjust based on household size and change annually.

Question 5

Can I refinance out of FHA mortgage insurance later?

Accepted Answer

Yes, you can refinance to conventional once you hit 20% equity. USDA also allows refinancing to drop mortgage insurance with sufficient equity.

FHA vs USDA Loans in Martinez: Which Government-Backed Option Fits Your Budget?