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in Sausalito, CA
Sausalito's waterfront properties and hillside homes carry Marin County price tags. That makes choosing the right loan type critical—you could save tens of thousands over the life of your mortgage.
Conventional loans dominate the market here, but VA loans give eligible veterans a clear edge. No down payment and no mortgage insurance can change the math completely when you're buying in one of California's priciest zip codes.
Conventional loans are the standard in Sausalito because they work for any qualified borrower. You need a 620+ credit score for most programs, and 3-5% down gets you in the door if you're willing to pay mortgage insurance.
Put down 20% and you skip mortgage insurance entirely. That's a big deal when you're borrowing $1.5M+ for a typical Sausalito home—PMI can add $500-800 monthly on loans that size.
These loans cap at conforming limits unless you go jumbo. In Marin County, the 2025 conforming limit is $1,209,750 for single-family homes, which covers some Sausalito properties but not all.
VA loans are guaranteed by the Department of Veterans Affairs and available only to eligible military borrowers. Zero down payment, no mortgage insurance, ever—those two features alone make this the strongest loan program in the country.
There's a funding fee (usually 2.15% for first-time use), but you can roll it into the loan. Sausalito has no VA loan limit if you have full entitlement, meaning you can finance high-value properties without the jumbo loan penalties.
Sellers pay for some closing costs through VA rules, which helps your cash position at closing. Rates typically run slightly lower than conventional, though margins vary by lender and market conditions.
The down payment gap is the biggest difference. Conventional requires 3-20% of the purchase price upfront. VA requires nothing. On a $1.4M Sausalito home, that's $42K-280K you either need in cash or you don't.
Mortgage insurance creates the second major split. Conventional loans under 20% down carry PMI until you hit 20% equity. VA loans never have it, which saves $400-700 monthly on typical loan amounts here.
Eligibility is simple: anyone with qualifying income and credit can get conventional financing. VA loans require military service credentials—active duty, veteran status, or surviving spouse eligibility through the VA.
If you're VA-eligible, use your VA loan. The math is overwhelming—zero down and no PMI beat conventional financing in almost every scenario. The 2.15% funding fee is negligible compared to what you'd pay for mortgage insurance or opportunity cost on a large down payment.
Conventional loans make sense for non-military buyers or when you're buying a second home (VA requires owner occupancy). They're also the only option if you're purchasing investment property in Sausalito.
Some sellers in competitive Marin markets prefer conventional offers because they close faster and have fewer appraisal conditions. But VA loans are fully competitive here—most listing agents understand the program and accept strong VA offers.
Yes, if you have full VA entitlement. There's no loan limit for qualified veterans with full benefits, so Sausalito's higher-priced homes are fully accessible.
Expect $400-800 monthly on loans between $1M-1.5M with less than 20% down. Rates vary by credit score and down payment amount.
Most do. VA loans are common in Marin County and close reliably. Strong offers with solid pre-approval compete effectively against conventional financing.
Typically 2.15% of the loan amount for first-time use, 3.3% for subsequent use. Disabled veterans often qualify for funding fee exemption.
Not easily. Some lenders offer lender-paid MI with a higher rate, but you're still paying for it. VA loans are the only true zero-MI option at low down payments.