Question 1

Can I use USDA loans in Bell Gardens?

Accepted Answer

Probably not. Bell Gardens is an urban LA city that doesn't meet USDA rural definitions. Check the USDA eligibility map for your specific address.

Question 2

Which loan has lower mortgage insurance?

Accepted Answer

USDA charges less: 0.35% annually versus FHA's 0.55%-0.85%. But this only matters if your Bell Gardens property qualifies for USDA financing.

Question 3

Do both loans accept low credit scores?

Accepted Answer

FHA goes lower at 580 minimum. USDA typically wants 640, though some lenders approve 620 with strong compensating factors.

Question 4

Can sellers pay closing costs on both loans?

Accepted Answer

FHA allows 6% seller concessions. USDA permits 6% as well, so both programs help buyers with limited cash beyond the down payment.

Question 5

Which loan closes faster in Bell Gardens?

Accepted Answer

FHA closes quicker because more lenders offer it and appraisers know the requirements. USDA adds property eligibility verification that slows the process.

FHA vs USDA Loans in Bell Gardens: Which Government Loan Fits Your Budget?