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in Inglewood, CA
Inglewood buyers often compare conventional and VA loans when shopping for mortgages. Both work well for local properties, but eligibility and costs differ sharply.
Veterans get zero-down VA financing with no PMI. Conventional borrowers need 3-20% down but face fewer property restrictions.
Your military status determines which path makes sense. Service members usually save thousands with VA loans, while civilian buyers use conventional financing.
Conventional loans aren't backed by the government. You need 620+ credit for most programs, with better rates at 740+.
Put down less than 20% and you'll pay PMI until you hit 20% equity. Down payments start at 3% for first-time buyers, 5% for repeat buyers.
These loans work for any property type that appraises. Condos, single-family homes, investment properties—all qualify if the deal makes sense.
Rates vary by borrower profile and market conditions. Stronger credit and larger down payments unlock lower rates.
VA loans are guaranteed by the Department of Veterans Affairs. Eligible veterans, active-duty members, and some surviving spouses qualify.
Zero down payment required, even on higher-priced Inglewood homes. No monthly PMI regardless of your equity position.
You'll pay a funding fee—typically 2.3% for first use with zero down. Disabled veterans often get this waived completely.
Properties must meet VA appraisal standards. Some condos and older homes need repairs before closing.
Down payment creates the biggest gap. VA buyers put zero down while conventional borrowers need at least 3%.
Monthly costs differ too. VA loans skip PMI entirely, cutting payments by $100-300 monthly compared to low-down conventional loans.
Property requirements favor conventional. VA appraisers flag issues that conventional appraisers ignore—peeling paint, safety hazards, certain roof conditions.
Eligibility separates the two completely. VA requires military service; conventional requires income, assets, and credit but no service record.
Use VA if you're eligible, period. Saving 3-5% down payment on an Inglewood home means keeping $20,000-40,000 in your pocket.
Skip PMI and you save another $150-250 monthly. Over five years that's $9,000-15,000 in avoided insurance premiums.
Conventional makes sense when VA won't work—buying a fixer that needs repairs before move-in, or if you're not military-connected.
Some buyers use both. Purchase with VA, then refinance to conventional later when building an investment portfolio.
Most VA lenders want 580-620 minimum credit. Lower scores work occasionally but expect higher rates and stricter income requirements.
VA rates typically run 0.25-0.5% lower than conventional. The government guarantee reduces lender risk, passing savings to borrowers.
Seller can make repairs or you switch to conventional financing. Many buyers negotiate repair credits or walk if issues are expensive.
No. You need 20% down to skip PMI on conventional loans. Anything less requires monthly mortgage insurance until you reach 20% equity.
Funding fee is one-time, PMI is monthly. Over five years, PMI costs more—but funding fee hits closing costs harder upfront.