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in Ross, CA
Both FHA and VA loans offer paths to homeownership in Ross with less cash down than conventional mortgages. The right choice depends entirely on your military service status and financial profile.
FHA loans serve anyone who qualifies, including first-time buyers. VA loans exclusively benefit veterans and active-duty service members with superior terms.
FHA loans require just 3.5% down with credit scores as low as 580. They charge upfront mortgage insurance (1.75% of loan amount) plus monthly premiums that last the loan's life in most cases.
These loans work well for buyers with credit challenges or limited savings. The trade-off is higher monthly costs due to mandatory mortgage insurance that doesn't drop off.
VA loans require zero down payment and charge no monthly mortgage insurance. You pay a one-time funding fee (typically 2.3% for first use, waived for disabled veterans) that can be rolled into the loan.
Lenders typically offer lower rates on VA loans than FHA because the government guarantee is stronger. Sellers can pay all your closing costs, further reducing what you need at closing.
The down payment gap is stark: VA requires nothing, FHA needs 3.5%. More importantly, VA loans eliminate monthly mortgage insurance, which typically costs $200-400 monthly on FHA loans in Ross's price range.
VA loans demand stricter property standards through their appraisal process. FHA accepts properties with minor issues that would fail VA inspection, giving you more home options in older Marin neighborhoods.
If you qualify for VA benefits, use them. The zero-down and no monthly MI make it dramatically cheaper over the loan term, even after the funding fee.
Choose FHA when you don't have military eligibility or when the property won't pass VA's stricter inspection standards. It remains one of the easiest government programs to qualify for with damaged credit.
Yes. VA loans work anywhere in the U.S. You don't need to live near your duty station or even be currently serving if you're a veteran.
Only if you put down 10% or more—then it drops after 11 years. With 3.5% down, you pay MI for the entire loan term.
FHA officially goes lower (580 minimum). VA has no set minimum, but most lenders want 620+ for both programs in practice.
Yes. You can reuse your benefit after selling or paying off a previous VA loan. Some borrowers even hold two VA loans simultaneously.
Many prefer conventional or VA over FHA due to appraisal concerns. VA and FHA both require stricter property condition standards than conventional loans.