Question 1

Can I switch from FHA to conventional later?

Accepted Answer

Yes, refinancing to conventional removes FHA insurance once you hit 20% equity and meet credit requirements. Most borrowers refinance within 3-5 years.

Question 2

Which loan closes faster in Cerritos?

Accepted Answer

Both take 30-45 days typically. FHA adds an appraisal inspection that can delay closing by a week if repairs are needed.

Question 3

Do Cerritos condos qualify for both loans?

Accepted Answer

Most do, but FHA requires the complex to be FHA-approved. Conventional loans have fewer condo restrictions in the area.

Question 4

What credit score gets me the best conventional rate?

Accepted Answer

740+ unlocks top-tier pricing. Each 20-point drop below 740 costs about 0.25-0.5% in rate on conventional loans.

Question 5

Is FHA worth it if I have 20% down?

Accepted Answer

Rarely. With that much down, conventional loans almost always beat FHA rates and avoid the upfront insurance premium.

Conventional vs FHA Loans in Cerritos: Which Gets You Better Terms?