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McFarland sits in Kern County, where home prices stay well below statewide California medians. That makes conforming loans a natural fit for most buyers here.
Conforming loans follow Fannie Mae and Freddie Mac guidelines. They offer the most competitive rates available to qualified borrowers.
620
Min Credit Score
3%
Min Down Payment
45–50%
Max DTI (typical)
~6.57%*
30-Yr Fixed (recent)
Conforming Loans in McFarland
Most lenders require a 620 minimum credit score for conforming loans. Score above 740 and you access the best pricing tiers.
Standard down payment is 3% for first-time buyers. Repeat buyers typically put down 5%. Less than 20% means you pay PMI — private mortgage insurance.
Local decision guide
Use this guide to connect conforming loans eligibility, lender expectations, and local market factors before comparing payment options in McFarland.
McFarland sits in Kern County, where home prices stay well below statewide California medians. That makes conforming loans a natural fit for most buyers here.
Conforming loans follow Fannie Mae and Freddie Mac guidelines. They offer the most competitive rates available to qualified borrowers.
Most lenders require a 620 minimum credit score for conforming loans. Score above 740 and you access the best pricing tiers.
Retail banks quote conforming loans, but their rates rarely beat what a broker can find. We shop 200+ wholesale lenders — that gap matters.
HousingWire flagged the 30-year fixed hitting 6.57% with applications dropping over 10% week-over-week. Rate sensitivity is real. Lender selection matters more now.
McFarland buyers sometimes overlook how loan pricing tiers work. Every 20-point credit score band changes your rate. Pull your credit early and fix what you can.
Conforming loans have tight DTI rules. If you carry a car payment and student loans, run the numbers before you fall in love with a listing.
FHA loans allow lower credit scores but add mortgage insurance for the loan's life. Conforming loans drop PMI once you hit 20% equity — FHA often won't.
Jumbo loans kick in above conforming limits. In Kern County, most McFarland purchases never reach that threshold. Jumbo means stricter underwriting and higher rates.
Kern County's conforming loan limit applies to McFarland. Verify the current limit before assuming your purchase price qualifies — limits adjust annually.
Agricultural employment is common in McFarland. Seasonal income documentation requires extra care. W-2 borrowers with steady employment have a smoother path through underwriting.
Kern County uses the standard conforming limit set annually by the FHFA. Check current limits before assuming your purchase price qualifies.
Yes, but pricing won't be pretty. Scores above 700 unlock meaningfully better rates and lower PMI costs.
Yes. Once you reach 20% equity, you can request PMI removal. That's a key advantage over FHA loans.
Lenders want two years of documented seasonal income. Tax returns and employer verification are both required.
For buyers with 620+ credit and 5% down, conforming often wins. PMI cancellation alone saves thousands over the loan term.