Question 1

Is Crescent City eligible for USDA loans?

Accepted Answer

Most of Del Norte County qualifies as USDA rural eligible. Run the specific address through the USDA eligibility map to confirm.

Question 2

Can I use USDA or FHA for a fixer-upper?

Accepted Answer

FHA has a 203k rehab option built for fixer-uppers. USDA has stricter property condition requirements and limited rehab options.

Question 3

Which loan has lower mortgage insurance?

Accepted Answer

USDA's annual mortgage insurance fee is lower than FHA's MIP. FHA MIP also lasts the life of the loan on most scenarios.

Question 4

Do both loans require the home to be a primary residence?

Accepted Answer

Yes. Both FHA and USDA are owner-occupancy programs only. Neither works for investment properties or vacation homes.

Question 5

What credit score do I need for USDA?

Accepted Answer

Most USDA lenders want a 640 minimum. Some will go lower with manual underwriting, but expect more documentation scrutiny.

Question 6

Can I switch from FHA to USDA if I find out I qualify?

Accepted Answer

Yes, before closing. Confirm USDA eligibility early — switching programs mid-process delays your closing date.

FHA vs USDA Loans in Crescent City, CA