Question 1

What is the conforming loan limit in Los Angeles County for 2026?

Accepted Answer

The 2026 conforming limit is $1,249,125. FHA and VA loans share this same ceiling. Loans above this amount are jumbo.

Question 2

Do I need 20% down to buy in Lancaster?

Accepted Answer

Yes — conventional loans work with 5% to 10% down, though PMI applies. FHA allows 3.5% down with 580+ credit. VA buyers put zero down.

Question 3

What credit score do I need for an FHA loan?

Accepted Answer

FHA requires 580 minimum FICO for the 3.5% down option. A 640+ score opens better rates. Some lenders accept lower scores with compensating factors.

Question 4

Is Los Angeles County an FHA high-cost area?

Accepted Answer

Yes. Los Angeles County is FHA high-cost. This affects MIP calculations and underwriting rules. Your lender will factor this into your quote.

Question 5

Is Los Angeles County a VA high-cost area?

Accepted Answer

Yes. VA high-cost designation applies to Los Angeles County. This affects funding fee calculations and appraisal standards.

Question 6

What does PMI cost on a conventional loan?

Accepted Answer

PMI typically runs 0.5% to 1.5% annually of the loan amount. It depends on your down payment and credit score. PMI cancels at 78% LTV.

Question 7

How long does it take to close a mortgage in Lancaster?

Accepted Answer

Conventional loans close in 30 to 45 days from application. FHA and VA take 45 to 60 days. Speed depends on document submission and appraisal timing.

Question 8

Do I need to sell my current home before buying in Lancaster?

Accepted Answer

Not necessarily. If you have equity and income for both mortgages, lenders will approve a purchase before sale. Most require the sale to close within 60 days.

Question 9

What is the upfront cost for an FHA loan?

Accepted Answer

FHA charges 1.75% upfront mortgage insurance premium (MIP) of the loan amount. This rolls into your loan balance. Annual MIP continues for the loan's life if down payment is under 10%.

Question 10

Can I get a VA loan without a disability rating?

Accepted Answer

Yes. VA loans don't require a disability rating. A 10% or higher VA disability rating exempts you from the funding fee. Otherwise, the funding fee applies at 2.15% for first-time use.

Question 11

How does LAUSD's budget situation affect home values in Lancaster?

Accepted Answer

LAUSD's fiscal oversight and spending cuts influence buyer sentiment and school choices. Families weigh school stability when deciding to buy. This may shift demand across Lancaster neighborhoods.

Question 12

What happens to my mortgage rate if I lock it in?

Accepted Answer

A rate lock freezes your interest rate for 30 to 60 days. If rates rise, your locked rate stays the same. If rates fall, renegotiation may be possible.

Question 13

Do jumbo loans require 20% down?

Accepted Answer

Jumbo loans typically require 20% down minimum. Some lenders go to 15% with strong credit. Expect 700+ FICO, solid reserves, and debt-to-income under 43%.

Question 14

What is the difference between FHA MIP and PMI?

Accepted Answer

FHA MIP is required for all FHA loans and runs for the loan's life if down payment is under 10%. Conventional PMI cancels at 78% LTV. Both protect the lender.

Lancaster mortgage questions answered