Loading
in Culver City, CA
Culver City buyers face a real choice between conventional and VA financing. Most put down 10-20% with conventional loans, while qualified veterans pay zero down with VA.
Both work well here, but the gap in upfront costs is massive. VA borrowers save $80,000-120,000 on typical Culver City purchases by skipping the down payment entirely.
Conventional loans dominate Culver City because most buyers don't qualify for VA. You need 620+ credit and stable income, but get rate options across 200+ lenders.
Down payments start at 3%, though you'll pay PMI below 20% down. Most Culver City buyers put down 10-15% to balance cash reserves with monthly costs.
These loans work for condos, investment properties, and second homes. That flexibility matters in a mixed-use city like Culver where buyers want options beyond single-family homes.
VA loans eliminate the down payment for eligible veterans and active-duty service members. You pay a funding fee instead, typically 2.3% for first-time use with zero down.
No PMI ever, regardless of down payment. That saves $200-400 monthly on typical Culver City purchases compared to conventional loans with minimal down.
Sellers can pay all closing costs, and credit requirements flex lower than conventional. I've closed VA deals at 580 credit when the rest of the file was clean.
Down payment is the biggest split. Conventional demands 3-20% upfront; VA asks for nothing but rolls a funding fee into the loan amount.
Monthly costs favor VA hard when you put less than 20% down on conventional. The PMI gap alone runs $250-350 monthly on Culver City prices.
Property restrictions matter more with VA. The appraiser flags deferred maintenance that conventional would ignore. Wood rot, chipped paint, foundation cracks—VA makes sellers fix these before closing.
Use VA if you're eligible, period. The zero-down advantage is huge in Culver City where most homes price above $1 million. Saving six figures upfront beats every conventional benefit.
Conventional makes sense when VA won't work: buying a second home, purchasing investment property, or closing on a fixer that won't pass VA appraisal standards. Also the default when you're not a veteran.
Some veterans still choose conventional for faster closes or when the funding fee plus loan amount pushes them over conforming limits. But that's rare—most should grab the VA benefit.
Yes, but the complex must be VA-approved. Many Culver City condos qualify, though some smaller HOAs haven't completed the approval process.
Expect $250-400 monthly with 5-10% down on typical Culver City prices. PMI drops off once you hit 20% equity through payments or appreciation.
2.3% of the loan amount for first-time use with zero down, 1.65% with 5%+ down. Disabled veterans and surviving spouses pay no funding fee.
No, VA rates typically run 0.25-0.5% lower than conventional. The government guarantee lets lenders price more aggressively.
Yes, though it's rarely needed since VA requires zero down. Some veterans add 5-10% down to lower the funding fee from 2.3% to 1.65%.