Question 1

What credit score do I need to buy a home in Susanville?

Accepted Answer

FHA loans start at 580. Conventional loans typically need 620, but we can work with 600 for strong profiles with higher down payments.

Question 2

Can I use a USDA loan in Susanville?

Accepted Answer

Most of Lassen County qualifies for USDA financing. These loans require zero down and work well for rural properties outside city limits.

Question 3

How much do I need for a down payment?

Accepted Answer

FHA requires 3.5% down. Conventional loans start at 3% for first-time buyers, 5% for repeat buyers.

Question 4

What documents do I need to apply for a mortgage?

Accepted Answer

Bring two years of tax returns, two months of bank statements, and recent pay stubs. Self-employed borrowers need full business returns and P&Ls.

Question 5

How long does mortgage approval take in Susanville?

Accepted Answer

Standard loans close in 30-35 days. USDA loans take 45-50 days due to extra underwriting steps.

Question 6

Can I buy a home with seasonal income?

Accepted Answer

Yes, with two years of consistent seasonal work. We average your income across 24 months to qualify you.

Question 7

Do I qualify if I'm self-employed as a contractor?

Accepted Answer

Bank statement loans work if you can't show traditional tax returns. We use 12-24 months of deposits to calculate income.

Question 8

What's the difference between FHA and conventional loans?

Accepted Answer

FHA allows lower credit scores and smaller down payments. Conventional loans have cheaper monthly insurance and easier appraisals for rural homes.

Question 9

Can I finance a property with acreage in Lassen County?

Accepted Answer

Conventional loans handle up to 10 acres easily. Larger parcels need portfolio lenders who specialize in land-heavy properties.

Question 10

What are closing costs in Susanville?

Accepted Answer

Expect 2-3% of the purchase price. On a $250,000 home, that's $5,000-$7,500 for fees, title, and escrow.

Question 11

Can the seller pay my closing costs?

Accepted Answer

Sellers can cover up to 6% on FHA and VA loans, 3% on conventional. This helps if you have limited cash after down payment.

Question 12

Do I need to pay PMI with less than 20% down?

Accepted Answer

Yes on conventional loans until you hit 20% equity. FHA charges mortgage insurance for the life of the loan unless you refinance.

Question 13

Can I buy a manufactured home in Susanville?

Accepted Answer

If it's on a permanent foundation with the land, yes. FHA covers most manufactured homes built after 1976.

Question 14

What's a good interest rate right now?

Accepted Answer

Rates vary by borrower profile and market conditions. As of February 2026, expect 6-7% for conventional, slightly higher for FHA.

Question 15

Can I use retirement income to qualify?

Accepted Answer

Yes, if it's documented and continuing. We use pension statements, Social Security awards, and IRA distribution schedules to verify income.

Question 16

What if I have a past bankruptcy?

Accepted Answer

FHA allows new loans two years after discharge. Conventional loans need four years, but we can find portfolio lenders with shorter waits.

Question 17

Can I buy investment property in Susanville?

Accepted Answer

DSCR loans work for rental properties using the property's income. You need 20-25% down and the rent must cover the mortgage payment.

Question 18

What's a rate lock and when should I use it?

Accepted Answer

Rate locks freeze your interest rate for 30-60 days while you close. Lock once you're in contract to avoid rate increases.

Question 19

Can I get pre-approved without hurting my credit?

Accepted Answer

One credit pull covers multiple lender quotes within 14 days. Shop rates freely during that window without extra score impact.

Question 20

How much home can I afford in Susanville?

Accepted Answer

Lenders approve up to 43% debt-to-income, but we recommend staying under 35%. On $5,000 monthly income, target a $1,400 mortgage payment.

Question 21

Can I roll closing costs into my loan?

Accepted Answer

Only on refinances. Purchase loans require cash for closing costs, though seller credits can cover most of it.

Question 22

What's an appraisal contingency?

Accepted Answer

It lets you renegotiate or walk away if the home appraises below purchase price. Critical in rural markets with fewer comparable sales.

Question 23

Do I need homeowners insurance before closing?

Accepted Answer

Yes, you must show proof of insurance at least three days before closing. Lassen County properties need fire coverage given wildfire risk.

Question 24

Can I use gift money for my down payment?

Accepted Answer

All loan types allow gifts from family. You need a signed letter stating the money doesn't require repayment.

Question 25

What's the benefit of a VA loan if I'm a veteran?

Accepted Answer

Zero down payment and no monthly mortgage insurance. VA loans also have more flexible credit requirements than conventional.

Question 26

Can I finance a fixer-upper in Susanville?

Accepted Answer

FHA 203(k) loans cover purchase and repairs in one mortgage. The home must be habitable, but cosmetic updates are fully financed.

Question 27

How does a bridge loan work?

Accepted Answer

It covers your new down payment before your current home sells. Useful in Susanville's slower market where homes take longer to move.

Question 28

What if I file taxes with an ITIN instead of SSN?

Accepted Answer

ITIN loans work for borrowers without Social Security numbers. You need two years of tax returns and standard income documentation.

Question 29

Can I buy a second home or vacation property?

Accepted Answer

Conventional loans allow 10% down for second homes. The property can't be rented out or it's classified as investment, requiring 20% down.

Question 30

What's an adjustable rate mortgage?

Accepted Answer

ARMs start with lower rates that adjust after 5, 7, or 10 years. Good if you plan to sell or refinance before the adjustment period.

Question 31

Do I pay property taxes at closing?

Accepted Answer

You prepay several months into an escrow account. Lassen County reassesses property taxes after sale, so expect increases from prior owner's rate.

Question 32

Can I get a mortgage with 1099 income only?

Accepted Answer

1099 loans use your gross receipts before business expenses. We need 12-24 months of 1099 forms to verify consistent income.

Question 33

What's the difference between pre-qualification and pre-approval?

Accepted Answer

Pre-qualification is an estimate. Pre-approval pulls credit and verifies income, giving you a firm number sellers take seriously.

Question 34

Can I pay points to lower my interest rate?

Accepted Answer

Each point costs 1% of the loan and drops your rate by roughly 0.25%. Worth it if you're keeping the loan past five years.

Question 35

What happens if I miss a mortgage payment?

Accepted Answer

One late payment reported after 30 days damages your credit. After three months, foreclosure proceedings can start in California.

Question 36

Can I refinance to drop mortgage insurance?

Accepted Answer

Yes, once you have 20% equity. FHA requires refinancing to conventional since FHA insurance stays for the full loan term.

Question 37

What's a HELOC and when should I use one?

Accepted Answer

A home equity line of credit acts like a credit card against your equity. Useful for ongoing projects or emergency funds.

Question 38

Can foreign nationals buy property in Susanville?

Accepted Answer

Yes, foreign national loans require 30-40% down and verify international income. No U.S. credit history needed.

Question 39

What if the home inspection finds major issues?

Accepted Answer

You can renegotiate price, ask for repairs, or cancel under your inspection contingency. Inspection always happens before loan approval.

Question 40

How do I know which loan type is best for me?

Accepted Answer

We review your income documentation, credit profile, and down payment to match you with the lowest-cost option. Most buyers have three viable paths.

Mortgage FAQs for Susanville, CA Homebuyers