Hawaiian Gardens Mortgage FAQs – Get Expert Answers from Local Brokers

FHA loans allow 580 credit scores with 3.5% down. Conventional loans typically require 620 minimum, but better rates start at 680.

FHA requires 3.5% down, conventional allows 3% for first-time buyers. Investment properties need 15-25% depending on the loan program.

Yes. Bank statement loans use 12-24 months of deposits instead of tax returns. We also offer 1099 loans and profit-loss statement programs.

W-2 earners need pay stubs, tax returns, and bank statements. Self-employed borrowers need business bank statements or 1099s depending on the loan type.

Pre-approval takes 1-3 days. Full approval to closing averages 21-30 days for conventional loans, 30-45 days for FHA.

FHA allows lower credit scores and smaller down payments but requires mortgage insurance for life on loans over 90% LTV. Conventional drops PMI at 78% LTV.

No. Rates depend on your credit score, down payment, and loan type—not your city. Rates vary by borrower profile and market conditions.

Yes, if you're a qualifying veteran or active-duty service member. VA loans require no down payment and no monthly mortgage insurance.

Expect 2-5% of the purchase price. This includes lender fees, title insurance, escrow, and recording fees common across Los Angeles County.

Only if you'll keep the loan past the break-even point, usually 4-6 years. Most buyers refinance or move before hitting break-even.

We shop 200+ lenders instead of offering one bank's rates. You get better pricing and access to specialized loans banks don't offer.

Yes. Multiple mortgage inquiries within 45 days count as one hard pull. Check your credit yourself first to avoid surprises.

No. Hawaiian Gardens is too densely populated and close to Los Angeles. USDA loans only work in rural areas.

DSCR loans approve based on rental income, not personal income. Investors with multiple properties use these to avoid income documentation.

No. FHA loans are for primary residences only. Investment properties require conventional, DSCR, or portfolio loans.

Conventional loans need 15% down for single-unit rentals. DSCR loans may allow 20% down with strong rental income coverage.

PMI costs 0.3-1.5% annually on conventional loans under 20% down. It drops automatically at 78% LTV or by request at 80%.

Bank statement loans use 12-24 months of business or personal deposits to calculate income. They're designed for self-employed borrowers who write off significant expenses.

Yes. FHA and conventional loans allow gift funds from family members. You'll need a gift letter stating the money doesn't require repayment.

Most conventional loans cap DTI at 45-50%. FHA allows up to 56.9% with strong credit and compensating factors.

Yes. California offers down payment assistance through CalHFA and LA County has local programs. Conventional loans also allow 3% down for first-timers.

ARMs offer lower initial rates that adjust after 3, 5, 7, or 10 years. They work if you'll sell or refinance before the adjustment period.

Yes, if the condo complex is FHA-approved. Not all complexes qualify. We verify approval status before you make an offer.

Jumbo loans exceed $806,500 in Los Angeles County. Few Hawaiian Gardens properties hit that threshold, so most buyers use conventional loans.

Your total monthly debt payments including the new mortgage shouldn't exceed 50% of gross income. We calculate exact numbers during pre-approval.

Pre-qualification is an estimate based on what you tell us. Pre-approval verifies income, assets, and credit—it carries weight with sellers.

Yes. FHA streamline refinances skip the appraisal if you're lowering your rate. You can also refinance into a conventional loan to drop PMI.

A rate lock guarantees your rate for 30-60 days while closing. Lock when rates are favorable or when you have a signed purchase agreement.

It depends on the loan type. Conventional loans may require 2-6 months of reserves for investment properties. Primary residence loans rarely require reserves.

Yes. ITIN loans allow borrowers without Social Security numbers to qualify. You'll need 2 years of tax returns and 15-20% down.

Bridge loans let you buy before selling your current home. They're short-term financing until your sale closes, typically 6-12 months.

Some lenders offer discounted rates or reduced fees for educators and first responders. Eligibility varies, so we check during pre-approval.

You can renegotiate the price, increase your down payment to cover the gap, or walk away if you have an appraisal contingency. We see this rarely in competitive markets.

Only on refinances. Purchase loans require cash to close, though seller concessions can cover some costs if negotiated in the offer.

Fixed rates never change over 15-30 years. ARMs start lower but adjust after the initial period based on market indexes.

We review your income documentation, credit profile, and property type to match you with the best program. Most borrowers have 3-5 viable options.

You pay only interest for 5-10 years, then principal and interest. These suit investors managing cash flow or buyers expecting income increases.

Yes, but most homes need to be habitable for conventional or FHA loans. Major rehabs require renovation loans like FHA 203(k) or Fannie Mae HomeStyle.

Recent bankruptcy, foreclosure, or short sale create waiting periods of 2-7 years depending on loan type. Active collections over $5,000 often need resolution before closing.

Lenders use 75% of rental income from leases or market rent appraisals. You need documentation proving the property is rented or rent-ready.