Loading
in Fairfax, CA
Fairfax is a small Marin County town with big price tags. Most buyers here need to choose carefully between conventional and FHA financing.
The right loan depends on your credit, your down payment, and how long you plan to hold the property. Both options have real tradeoffs.
Conventional loans are not government-backed. Lenders set the terms, and qualified borrowers get competitive rates without upfront insurance premiums.
You typically need a 620 credit score minimum. Put down 20% and you skip private mortgage insurance — PMI — entirely.
FHA loans are insured by the federal government. That insurance lets lenders approve borrowers with lower credit scores and smaller down payments.
You can qualify with a 580 score and 3.5% down. Scores between 500 and 579 require 10% down.
Local decision guide
Use this comparison to weigh Conventional Loans and FHA Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Fairfax.
Fairfax is a small Marin County town with big price tags. Most buyers here need to choose carefully between conventional and FHA financing.
The right loan depends on your credit, your down payment, and how long you plan to hold the property. Both options have real tradeoffs.
Conventional loans are not government-backed. Lenders set the terms, and qualified borrowers get competitive rates without upfront insurance premiums.
The biggest difference is mortgage insurance. FHA charges an upfront premium plus monthly MIP — often for the loan's entire term.
Conventional PMI cancels automatically at 22% equity. That can save you tens of thousands over a Fairfax-priced loan. HousingWire flagged the 30-year fixed hitting 6.57% recently — at those rates, every cost layer matters.
Strong credit and 10%+ down? Conventional almost always wins in Fairfax. Lower long-term costs and no permanent insurance drag.
Credit below 660 or down payment under 5%? FHA gets you in the door. Just plan your exit — refinancing out of MIP is a smart move once equity builds.
It depends on your down payment and credit score. Conventional wins long-term if you can drop PMI. Rates vary by borrower profile and market conditions.
Yes. FHA offers a 203k rehab loan for that. Conventional renovation loans exist too — compare both before deciding.
Marin County is a high-cost area with elevated FHA limits. Confirm the current cap with your broker — limits adjust annually.
For most FHA loans with under 10% down, MIP lasts the full loan term. That's a real cost to factor into your comparison.
Yes, and many Fairfax buyers plan for exactly that. Once you hit enough equity, refinancing drops the MIP requirement entirely.
Conventional loans typically close faster. FHA requires an appraisal meeting specific condition standards, which can slow things down.