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in La Puente, CA
La Puente sits in Los Angeles County where the 2026 conforming limit is $1,249,125. Most buyers here choose between conventional and FHA loans.
Conventional loans are the traditional choice — they're what most lenders offer first. FHA loans are government-backed and designed for buyers with smaller down payments or lower credit scores.
Conventional loans are the standard mortgage. You'll put down 5% to 20% of the purchase price. The lower your down payment, the higher your mortgage insurance (PMI) cost each month. Once you hit 20% equity, PMI drops off automatically.
Conventional works best if you have decent savings and a credit score above 620. Lenders like them because they're not government-backed. That means faster underwriting and more flexibility on property types.
FHA loans are government-insured mortgages designed for first-time buyers and those with limited savings. You can put down as little as 3.5% of the purchase price. FHA charges mortgage insurance premium (MIP) upfront and monthly.
FHA accepts credit scores down to 580 and is more forgiving on income ratios. The trade-off is longer underwriting and stricter property standards. FHA appraisers check the home more carefully.
Local decision guide
Use this comparison to weigh Conventional Loans and FHA Loans through local payment fit, eligibility, documentation, and timing before choosing a path in La Puente.
La Puente sits in Los Angeles County where the 2026 conforming limit is $1,249,125. Most buyers here choose between conventional and FHA loans.
Conventional loans are the traditional choice — they're what most lenders offer first. FHA loans are government-backed and designed for buyers with smaller down payments or lower credit scores.
Conventional loans are the standard mortgage. You'll put down 5% to 20% of the purchase price. The lower your down payment, the higher your mortgage insurance (PMI) cost each month. Once you hit 20% equity, PMI drops off automatically.
Down payment is the biggest difference. FHA lets you put down 3.5%; conventional wants at least 5%. That gap matters when you're saving. FHA also accepts lower credit scores — 580 versus 620 for conventional.
Insurance costs work differently. Conventional PMI ends when you reach 20% equity. FHA's mortgage insurance premium stays for the entire loan unless you refinance later. On a smaller down payment, that's a meaningful cost difference over time.
Choose FHA if you have limited savings and a credit score between 580 and 620. FHA's 3.5% down keeps more cash in your pocket at closing. If you're a first-time buyer with modest credit, FHA opens the door.
Choose conventional if you have 10% or more saved and a credit score above 640. Conventional PMI drops off once you build equity. Over a 30-year loan, that saves real money compared to FHA's permanent mortgage insurance.
Yes. FHA accepts credit scores as low as 580. Conventional typically requires 620 or higher. If your score is between 580 and 620, FHA is often your only option. Lenders may charge a higher rate for lower scores, but you'll still qualify.
Yes. PMI cancels automatically once you reach 20% equity in the home. FHA's mortgage insurance premium (MIP) does not cancel — it stays for the life of the loan. This is the biggest long-term cost difference between the two programs.
Both conventional and FHA cap at $1,249,125 in Los Angeles County for 2026. Your actual loan amount depends on your income, credit, and down payment. The loan limit is the ceiling, not your guaranteed amount.
Conventional typically closes in 30 to 45 days. FHA takes 45 to 60 days because the appraisal is stricter and underwriting is more detailed. If speed matters, conventional has the edge.
No. Conventional loans require a minimum 5% down payment. FHA allows 3.5% down. If you have less than 5% saved, FHA is your path forward.