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in Huntington Park, CA
Both FHA and USDA loans help Huntington Park buyers with limited cash get approved. FHA requires just 3.5% down, while USDA offers zero down payment financing.
The catch? USDA has strict location and income limits that disqualify most Huntington Park properties. FHA works nearly everywhere but requires upfront and monthly mortgage insurance that never drops off.
FHA loans let you buy with 580 credit and 3.5% down. You pay 1.75% upfront mortgage insurance plus 0.55%-0.85% annually.
FHA works on any property type in Huntington Park — condos, single-family homes, even some multi-units. Sellers can contribute up to 6% toward your closing costs.
The monthly insurance never cancels unless you refinance. Rates typically run 0.25%-0.50% lower than conventional loans for borrowers with under 680 credit.
USDA loans require zero down payment and charge lower mortgage insurance than FHA. You pay 1% upfront and 0.35% annually.
Here's the problem: Huntington Park sits in central Los Angeles County and doesn't qualify as rural. USDA only works in designated rural areas, which excludes most LA County cities.
Even if you find an eligible property nearby, your household income can't exceed 115% of area median. For LA County, that caps most families out of USDA eligibility.
FHA works anywhere in Huntington Park with 3.5% down. USDA needs zero down but won't approve most properties here due to location restrictions.
FHA charges higher mortgage insurance that lasts the full loan term. USDA costs less monthly but has income caps that disqualify higher earners.
Credit requirements run similar — both accept 580-640 scores. FHA lets you close in 30 days while USDA adds 45-60 days due to rural certification paperwork.
Choose FHA for Huntington Park purchases. USDA eligibility here is extremely limited due to urban location and LA County income thresholds.
If you're buying in rural areas east of LA County like Antelope Valley, USDA becomes competitive. But for Huntington Park specifically, FHA gives you actual financing options.
The 3.5% down payment on FHA is manageable — on a $500K home, you need $17,500 plus closing costs. Rates vary by borrower profile and market conditions.
No. Huntington Park is classified as urban and doesn't meet USDA's rural designation requirements.
USDA costs less monthly due to lower insurance rates. But FHA is your only realistic government option in Huntington Park.
Yes. Both FHA and USDA approve borrowers around 580-640 credit with compensating factors like stable income.
No. FHA requires it for the loan term, USDA for the loan term unless you refinance out later.
FHA closes in 30 days. USDA adds 2-4 weeks for rural eligibility verification that won't apply here anyway.