Question 1

What credit score do I need for conventional in Torrance?

Accepted Answer

Minimum 620 to qualify, but 740+ unlocks tier-one rates. Every 20-point drop below 740 costs you in rate or fees that add up over the loan term.

Question 2

Can I avoid PMI with less than 20% down?

Accepted Answer

Yes, through lender-paid PMI where you take a slightly higher rate to eliminate monthly premiums. We run both scenarios to show which costs less long-term.

Question 3

How does conventional compare to FHA for Torrance buyers?

Accepted Answer

Conventional wins if your credit exceeds 680. PMI drops off automatically, sellers prefer your offers, and you avoid FHA's lifetime mortgage insurance on purchases.

Question 4

What down payment do most Torrance buyers make?

Accepted Answer

Move-up buyers typically put 30-40% down. First-timers average 10-15% to balance monthly costs with closing cash requirements.

Question 5

Do I need an appraisal for conventional loans in Torrance?

Accepted Answer

Not always. Strong credit and 20% down often qualify for appraisal waivers, especially on single-family homes. This speeds up closing in competitive situations.

Question 6

How long does conventional loan approval take?

Accepted Answer

Two to three weeks with clean financials. Condos add a week for HOA document review, which gets scrutinized carefully in South Bay buildings.

Conventional Loans in Torrance: Strong Credit Gets the Best Terms