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in Industry, CA
Industry's commercial-heavy landscape means most residential buyers cluster in specific pockets. Both FHA and VA loans offer government backing, but they serve different borrowers with different benefits.
FHA opens doors for first-timers with limited cash. VA rewards military service with unbeatable terms. Your eligibility decides which path you take.
FHA loans require just 3.5% down with credit scores as low as 580. You'll pay mortgage insurance for the life of most loans, but approval odds beat conventional programs hands down.
Sellers can contribute up to 6% toward closing costs. Property standards run strict—FHA appraisers flag issues other programs miss. Loan limits in LA County hit $644,000 for single-family homes.
VA loans deliver zero down payment for eligible veterans and service members. No monthly mortgage insurance ever. Rates typically run lower than FHA by 0.25-0.5%.
You'll pay a one-time funding fee unless you're exempt for disability. Sellers can cover all closing costs if they agree. Property must meet VA minimum standards, which are reasonable but firm.
Eligibility splits these programs cleanly. VA demands military credentials—active duty, veteran status, or surviving spouse with benefits. FHA accepts anyone who meets income and credit standards.
Monthly costs favor VA heavily. That absent mortgage insurance saves $200-400 monthly on typical LA County purchase prices. VA funding fees run 2.15-3.3% upfront but get rolled into the loan. FHA charges 1.75% upfront plus 0.55-0.85% annually forever on most loans.
If you're VA-eligible, use it. Zero down, no monthly insurance, and lower rates make this a no-brainer for qualified borrowers. The funding fee stings upfront but you'll recover it in 12-18 months through payment savings.
FHA works when VA isn't an option. That 3.5% down opens homeownership years earlier than saving 20% for conventional. Just budget for permanent mortgage insurance—it'll add 10-15% to your monthly housing cost.
No. Both programs require owner-occupied residential use only. Industry's warehouse and industrial spaces don't qualify under either program.
Similar timelines—both take 30-45 days typically. VA appraisals sometimes add 5-7 days in markets with few VA-approved appraisers.
Most sellers treat them equally. Both require property meet condition standards. VA's zero down sometimes concerns sellers worried about buyer commitment.
Only if you put 10%+ down initially—then it drops after 11 years. Otherwise you'll pay it until you refinance or sell.
FHA goes as low as 580 with 3.5% down. VA lenders typically want 620+ though the program itself has no minimum.