Willows Mortgage FAQs: Your Questions Answered by Local Brokers

FHA loans start at 580, conventional at 620. Most lenders want 640+ for rural Glenn County properties due to lower inventory and appraisal challenges.

FHA requires 3.5%, conventional as low as 3%, VA and USDA zero down. Rates vary by borrower profile and market conditions.

Yes, most of Willows and Glenn County are USDA-eligible. You need to verify income limits and the specific property address with your lender.

Standard W-2 loans need two years tax returns, recent paystubs, bank statements, and ID. Self-employed borrowers need additional business documentation depending on loan type.

Absolutely. Bank statement loans, 1099 loans, and profit-loss statement programs work well for ag workers and ranchers with variable income.

Typically 30-45 days for most loans. Rural appraisals in Glenn County sometimes add 5-7 days because fewer appraisers cover the area.

Expect 2-5% of purchase price. Title, escrow, appraisal, and lender fees add up quickly, especially on properties under $300K.

Get pre-approved. It requires full documentation review and shows Willows sellers you're a serious buyer in this competitive small-town market.

FHA and conventional 3% down programs are most common. USDA works if you meet income limits and buy outside city limits.

Yes, VA loans work great here with zero down payment. Just confirm the property meets VA appraisal standards before making an offer.

FHA allows lower credit scores and 3.5% down but requires mortgage insurance for life unless you refinance. Conventional drops PMI at 20% equity.

Yes, if you put down less than 20% on conventional or use FHA financing. VA loans have a one-time funding fee instead.

FHA 203k and conventional renovation loans allow you to finance repairs. Hard money works for investors flipping properties quickly.

DSCR loans qualify you based on rental income, not personal income. Investors buying rental properties in Willows use these frequently.

Working farmland requires specialized ag loans, not residential mortgages. We connect you with lenders who understand irrigation rights and crop production.

Yes, but it must be permanently affixed to owned land and meet HUD standards. Financing options are more limited than stick-built homes.

ARMs start with lower rates that adjust after 3-10 years. They work if you plan to sell or refinance before the adjustment period.

Some areas near the Sacramento River require it. Your lender orders a flood certification during underwriting to determine requirements.

Most lenders allow rate locks only after you have a ratified contract. Locks typically last 30-60 days depending on closing timeline.

Lenders count either your actual payment or 0.5-1% of the balance monthly. Income-driven repayment plans can lower your debt-to-income ratio.

Most programs allow 43-50% DTI. FHA goes higher with strong credit, while jumbo loans often cap at 43%.

Yes, from family members with a signed gift letter. FHA and conventional allow gifts, but some loan types require at least 5% from your own funds.

You qualify using 12-24 months of business or personal bank deposits instead of tax returns. Perfect for Willows contractors and business owners.

Yes. FHA allows purchases two years after Chapter 7 discharge, conventional after four years with credit rebuilding.

You can negotiate price down, bring extra cash, or walk away if you have an appraisal contingency. Low appraisals happen less in stable Willows market.

Yes. Investment properties typically require 15-25% down, and lenders scrutinize rental income potential more carefully than primary residences.

Bridge loans let you buy before selling your current home. They're short-term and expensive, so they work best when you need fast timing.

You pay only interest for 5-10 years, then principal payments begin. These work for investors expecting appreciation or higher future income.

Yes, with foreign national loan programs requiring 20-30% down. These loans don't need US credit history or Social Security numbers.

ITIN loans work for borrowers without Social Security numbers. You'll need strong employment history and typically 15-20% down payment.

Only if you're keeping the loan 5+ years. Each point costs 1% upfront and typically lowers your rate 0.25%. Rates vary by borrower profile.

We shop 200+ lenders to find the best rate and program for your situation. Banks only offer their own products at retail pricing.

Most lenders allow housing payments up to 28% of gross income. Use our calculator or call for a personalized assessment based on your full financial picture.

Absolutely. Social Security, pension, and retirement account distributions all count as qualifying income if they continue for at least three years.

We order appraisal and title work, submit to underwriting, and request any additional documentation needed. You'll get regular updates throughout the 30-45 day process.