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in Maywood, CA
Maywood sits in southeast LA County where home prices hover below the county median. Veterans shopping here face a real choice: use your VA benefit or go conventional.
Most Maywood buyers put down 3-5% on conventional loans. VA borrowers put down zero and skip mortgage insurance entirely.
Conventional loans work for any qualified borrower in Maywood. You need 620 credit minimum, though 680+ gets better rates.
Put down 3% as a first-timer or 5% with prior ownership. Expect monthly PMI until you hit 20% equity, which adds $100-200 to your payment on a typical Maywood home.
These loans close fast because there's no VA appraisal. Sellers in hot Maywood neighborhoods prefer that speed when they're juggling multiple offers.
VA loans let eligible veterans and active military buy in Maywood with zero down. No down payment and no monthly mortgage insurance changes the math completely.
You pay a VA funding fee upfront (2.3% for first-time zero-down users), but most borrowers roll it into the loan. Credit requirements stay flexible at 580-620 depending on the lender.
The VA appraisal protects you but adds time. Appraisers flag issues conventional lenders ignore, which can kill deals on older Maywood properties.
The funding fee vs PMI calculation matters in Maywood. A $500K conventional loan with 5% down costs about $180/month in PMI. VA charges 2.3% upfront ($11,500 financed), but nothing monthly.
VA loans typically price 0.25-0.50% lower in rate than conventional. On a 30-year loan, that rate difference saves $75-150 monthly on top of eliminating PMI.
Sellers care about appraisals. VA requires repairs that conventional appraisers note but don't demand. On Maywood's older housing stock, this matters when competing against cash or conventional offers.
Use your VA benefit if you have it and plan to stay 3+ years. The upfront funding fee pays back fast when you skip PMI and get a lower rate every month.
Go conventional if the property won't pass VA inspection or you're competing in a multiple-offer situation. Also choose conventional if you've already used your VA entitlement and buying above the county limit.
I've closed both in Maywood countless times. Veterans with full entitlement should start with VA unless the property or timeline makes it impossible.
Yes, but the complex must be VA-approved. Most Maywood condos aren't on the approved list, which forces you to conventional even with VA eligibility.
Some do in multiple-offer situations. VA appraisals take longer and flag more repair items than conventional appraisals, making sellers nervous.
Conventional requires 620 minimum. VA lenders vary between 580-620 depending on compensating factors like income and reserves.
Yes, put down 20% or use lender-paid PMI programs. Both eliminate monthly PMI but lender-paid options charge a higher rate instead.
First-time zero-down users pay 2.3% of the loan amount. That's $11,500 on a $500K loan, typically financed into your mortgage.
Conventional typically closes 3-5 days faster. VA appraisals take longer and often require a second inspection after repairs are completed.