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in Mill Valley, CA
Mill Valley's median home prices push many buyers toward government-backed financing. Both FHA and VA loans offer lower barriers to entry than conventional mortgages, but they serve different borrowers.
If you're military-affiliated, VA wins every time. If you're not, FHA might be your only sub-20% down payment option in Marin County's competitive market.
FHA loans let you buy with 3.5% down if your credit score hits 580. Below that, you'll need 10% down. These loans work for anyone — no military service required.
You'll pay an upfront mortgage insurance premium of 1.75% plus annual premiums. On Mill Valley's higher home values, that insurance adds up fast. But FHA accepts gift funds and seller credits, which helps with closing costs.
VA loans require zero down payment and charge no monthly mortgage insurance. You pay a one-time funding fee instead — typically 2.3% for first-time users, waived if you're disabled.
Lenders want 620+ credit, though some go lower. VA's big advantage in Mill Valley: no down payment on a $1.5M home means keeping your cash for renovations or reserves.
Local decision guide
Use this comparison to weigh FHA Loans and VA Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Mill Valley.
Mill Valley's median home prices push many buyers toward government-backed financing. Both FHA and VA loans offer lower barriers to entry than conventional mortgages, but they serve different borrowers.
If you're military-affiliated, VA wins every time. If you're not, FHA might be your only sub-20% down payment option in Marin County's competitive market.
FHA loans let you buy with 3.5% down if your credit score hits 580. Below that, you'll need 10% down. These loans work for anyone — no military service required.
The funding structure separates these loans. FHA charges 1.75% upfront plus 0.55%-0.85% annually for the loan's life. VA charges 2.3% once with no ongoing premiums.
On a $900K Mill Valley purchase, FHA's monthly insurance runs $400-650. VA has none. Over 30 years, that's $144K-234K extra. The funding fee difference barely matters by comparison.
If you qualify for VA, use it. The zero-down, no-PMI structure beats FHA decisively in Mill Valley's price range. You'll save hundreds monthly and keep capital liquid.
FHA makes sense only if you're not military-eligible. Even then, compare it against conventional with 5-10% down. FHA's lifetime insurance premium often costs more than a slightly higher conventional rate.
Yes. VA has no loan limit for full-entitlement borrowers. FHA caps at $1,249,125 in Marin County for 2026, which covers many Mill Valley properties.
Both take similar time. VA's appraisal requirements are stricter, but neither has a speed advantage. Your lender's efficiency matters more than loan type.
Neither thrills sellers compared to conventional. VA's appraisal can flag issues FHA might miss. Strong pre-approval and earnest money matter more than loan type.
Not if you put down less than 10%. You're stuck with it unless you refinance. VA never charges ongoing insurance, so there's nothing to remove.
FHA approves at 580, but most lenders want 620+. VA wants 620 minimum. Both prefer 640+ for better rates and smoother underwriting.