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in Bellflower, CA
Both FHA and VA loans make Bellflower homeownership more accessible than conventional financing. The right choice depends on military status and available cash for closing.
FHA works for any buyer with modest credit and 3.5% down. VA beats it on every metric—if you qualify through service.
FHA loans accept credit scores as low as 580 with 3.5% down. You'll pay an upfront mortgage insurance premium of 1.75%, plus annual premiums that last the life of most loans.
Debt-to-income ratios can stretch to 50% with compensating factors. FHA allows gift funds and seller concessions up to 6% of the purchase price.
Maximum loan limits in Los Angeles County cover homes up to $644,000 for single-family properties in 2024. Non-occupant co-borrowers can help qualify without living in the home.
VA loans require zero down payment and charge no monthly mortgage insurance. The one-time funding fee ranges from 1.4% to 3.6% based on service type and down payment.
Credit standards are flexible—most lenders approve at 620, some go lower. Debt ratios can exceed 50% with residual income calculations that factor in family size and region.
VA loan limits don't cap purchase price for qualified borrowers. The guarantee limit is $766,550 in Los Angeles County, but you can borrow more without a down payment if you qualify.
VA eliminates the two biggest FHA costs: down payment and mortgage insurance. On a $500,000 Bellflower home, FHA requires $17,500 down plus $8,750 upfront MIP and $354 monthly premiums.
VA charges a 2.3% funding fee ($11,500 on that same purchase) but nothing monthly. Disabled veterans pay zero funding fee—a massive advantage over FHA's mandatory insurance.
FHA accepts any buyer with qualifying credit and income. VA restricts eligibility to veterans, active military, National Guard, Reservists, and some surviving spouses.
If you qualify for VA through service, use it. The monthly savings from zero mortgage insurance pays for the funding fee within three years—then keeps saving forever.
FHA makes sense when VA isn't an option. It beats conventional financing on credit flexibility and down payment, especially for first-time buyers building equity in Bellflower's diverse neighborhoods.
Some borrowers use both strategically: VA for a primary residence, then FHA for an investment property later. We see this with military buyers who want to build a rental portfolio.
You can hold both loan types simultaneously on different properties. Most borrowers use VA for their primary home and FHA for investment purchases.
VA rates typically run 0.25% to 0.5% lower than FHA because government guarantee reduces lender risk. Rates vary by borrower profile and market conditions.
Yes, but differently. FHA accepts non-occupant co-borrowers without restrictions. VA requires spouses or other veterans as co-borrowers with few exceptions.
Only by putting 10% or more down, which drops MIP after 11 years. With 3.5% down, insurance lasts the entire loan term.
Yes. First-time users pay 2.3% with zero down. Subsequent VA loans increase to 3.6% unless you're exempt through disability.