Question 1

Can I use USDA loans in San Fernando?

Accepted Answer

Most San Fernando properties don't qualify because the area is too urban. Check the USDA eligibility map—only a few outlying zones may work.

Question 2

Which loan has lower mortgage insurance?

Accepted Answer

USDA charges 0.35% annually while FHA runs 0.55% to 0.80%. USDA saves money if you qualify, but FHA works for more properties.

Question 3

What credit score do I need for each loan?

Accepted Answer

FHA approves at 580, USDA typically at 620. Both allow lower scores with manual underwriting if your profile is strong.

Question 4

Does USDA really require zero down payment?

Accepted Answer

Yes, USDA finances 100% of the purchase price. You still need cash for closing costs, inspections, and prepaid items.

Question 5

Which loan closes faster in San Fernando?

Accepted Answer

FHA closes in 30 days on average. USDA takes 45 to 60 days because files get reviewed twice by the agency.

FHA vs USDA Loans in San Fernando: Which Government-Backed Option Works for You?