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Santa Clarita's newer construction and master-planned communities work well with FHA financing. Most properties here meet FHA standards without major issues.
The 2026 FHA loan limit for Los Angeles County is $1,249,125 for single-family homes. That covers roughly 85% of Santa Clarita's housing stock.
Condos in Valencia and Stevenson Ranch often have FHA approval already. Townhomes in newer developments typically qualify without extra underwriting delays.
FHA Loans in Santa Clarita
You need 580 credit for 3.5% down. Score between 500-579 requires 10% down, but most lenders won't touch that range.
Debt-to-income can stretch to 50% with strong compensating factors. We see approvals at 48-49% regularly in Santa Clarita deals.
Two years removed from bankruptcy or three years from foreclosure. Chapter 13 requires just one year of on-time payments.
Self-employed borrowers need two years of tax returns. Lenders average your income across both years, so recent growth helps.
Local decision guide
Use this guide to connect fha loans eligibility, lender expectations, and local market factors before comparing payment options in Santa Clarita.
Santa Clarita's newer construction and master-planned communities work well with FHA financing. Most properties here meet FHA standards without major issues.
The 2026 FHA loan limit for Los Angeles County is $1,249,125 for single-family homes. That covers roughly 85% of Santa Clarita's housing stock.
Condos in Valencia and Stevenson Ranch often have FHA approval already. Townhomes in newer developments typically qualify without extra underwriting delays.
Most of our 200+ wholesale lenders offer FHA. Rates vary by 0.25-0.50% between best and worst pricing for identical scenarios.
Credit unions price FHA competitively but lack flexibility on exceptions. Non-bank lenders approve borderline credit faster.
Mortgage insurance costs the same across all lenders—it's set by FHA. Your rate and closing costs are where you gain or lose money.
Some lenders overlay additional requirements beyond FHA minimums. We avoid those and route to lenders matching official FHA guidelines.
FHA works for Santa Clarita first-timers stretching to afford Canyon Country or Saugus. The 3.5% down beats saving for years.
Mortgage insurance doesn't drop off—you pay it for the loan's life unless you refinance. Plan to refi into conventional once you hit 20% equity.
HOA properties need FHA approval of the entire complex. We check this before you make an offer to avoid dead deals.
Sellers sometimes resist FHA offers assuming appraisal issues. Having 5-7% down instead of 3.5% makes your offer look stronger.
Conventional loans at 3% down cost less monthly if your credit exceeds 720. Below 680, FHA almost always wins.
VA loans beat FHA on every metric if you're military-eligible. Zero down, no MI, better rates—use VA first.
USDA won't work in Santa Clarita. The entire city sits outside eligible rural zones despite feeling suburban.
Properties built before 1978 trigger lead paint inspections. Many Santa Clarita homes are newer, avoiding this requirement entirely.
Well water and septic systems need FHA-approved testing. Rare here, but some Canyon Country properties still have wells.
Appraisers flag deferred maintenance harder on FHA than conventional. Minor roof wear or peeling paint can delay closing.
The FHA loan limit covers everything except estate properties in West Ranch or Bridgeport. Those need jumbo financing.
You need 580 for 3.5% down. Scores of 500-579 require 10% down, but finding a lender is nearly impossible in that range.
Yes, if the HOA is FHA-approved. We verify approval status before you write an offer to avoid wasted time.
Upfront MI is 1.75% of the loan amount. Annual MI ranges from 0.55% to 1.05% based on down payment and loan size.
Absolutely. Most Canyon Country properties meet FHA standards. A few older homes on wells need extra inspections.
Refinance to conventional once you reach 20% equity. With Santa Clarita appreciation, that often happens in 3-5 years.
Most do. Come in at 5% down instead of 3.5% and waive minor repairs to compete with conventional buyers.