Question 1

Can I use a VA loan in Arcata, CA?

Accepted Answer

Yes, VA loans work anywhere in California. You need a valid Certificate of Eligibility from the VA to qualify.

Question 2

Does FHA require mortgage insurance forever?

Accepted Answer

On most FHA loans today, yes. Mortgage insurance stays for the life of the loan unless you refinance out of FHA.

Question 3

Which loan has a lower interest rate, FHA or VA?

Accepted Answer

VA rates typically run lower than FHA. Rates vary by borrower profile and market conditions, so get quotes for both.

Question 4

What credit score do I need for each loan?

Accepted Answer

FHA requires 580 for 3.5% down. VA has no official minimum, but most lenders want at least a 620.

Question 5

Can I use VA or FHA to buy a multi-unit property in Arcata?

Accepted Answer

Both programs allow 2-4 unit properties if you occupy one unit as your primary residence.

Question 6

What is the VA funding fee?

Accepted Answer

It's a one-time fee rolled into the loan. The amount depends on your down payment and prior VA loan use.

FHA vs VA Loans in Arcata, CA: Which One Fits You?