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in Huntington Park, CA
Both FHA and VA loans help Huntington Park buyers overcome the biggest barrier to homeownership: the down payment. FHA requires just 3.5% down while VA requires nothing at all.
The catch? VA loans are only available to veterans, active-duty service members, and surviving spouses. FHA loans work for anyone who qualifies, making them the go-to option for first-time buyers without military service.
FHA loans let you buy with 3.5% down if your credit score hits 580. Below that, you need 10% down. These loans also accept higher debt ratios than most conventional programs.
You'll pay two types of mortgage insurance: an upfront premium of 1.75% and monthly premiums that range from 0.55% to 1.05%. That insurance sticks around for the loan's life on most FHA mortgages, which adds up over time.
VA loans eliminate the down payment entirely for eligible borrowers. You also skip monthly mortgage insurance, which saves hundreds per month compared to FHA.
The tradeoff is a one-time funding fee between 1.4% and 3.6% of the loan amount, depending on your service type and whether it's your first VA loan. Veterans with service-connected disabilities pay zero funding fee.
The biggest split is eligibility: VA loans require military service while FHA loans don't. If you qualify for VA, you save serious money by avoiding monthly mortgage insurance.
FHA accepts slightly lower credit scores and works for investment properties with owner occupancy. VA loans demand primary residence use only but offer better rates and lower monthly costs for those who qualify.
If you have VA eligibility, use it. The zero down payment and no monthly insurance make VA loans the strongest government option for qualified borrowers. You'll save hundreds monthly compared to FHA.
Go FHA if you lack military connection but need a low down payment path. It costs more monthly than VA but less upfront than conventional loans requiring 5% to 20% down. Rates vary by borrower profile and market conditions.
Yes to both if you occupy one unit. FHA allows up to four units with owner occupancy. VA allows up to four units as well, provided you live in one.
VA loans cost less monthly because you skip mortgage insurance. On a $500K home, that saves roughly $250 to $400 per month versus FHA.
FHA officially accepts 580 minimum scores. VA has no official minimum, but most lenders want 620 or higher for approval.
Absolutely. Many borrowers start with FHA then refinance to VA once they discover their eligibility. The switch eliminates monthly mortgage insurance.
Both take similar timeframes, typically 30 to 45 days. VA loans sometimes need extra appraisal steps, but the difference is minimal with experienced lenders.