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in Tiburon, CA
Tiburon is one of Marin County's most expensive markets. Most homes here push buyers straight past FHA loan limits.
Knowing which loan fits your profile saves time. These two programs serve very different borrowers.
Conventional loans aren't backed by any government agency. Lenders take on the risk, so they price it — credit score and down payment matter a lot.
Put down 20% and you skip private mortgage insurance entirely. That adds up fast on a Tiburon purchase price.
FHA loans are insured by the federal government. That insurance lets lenders approve borrowers with lower scores and smaller down payments.
The tradeoff is mortgage insurance for the life of the loan in most cases. On a Tiburon-priced home, that cost adds up.
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 Tiburon.
Tiburon is one of Marin County's most expensive markets. Most homes here push buyers straight past FHA loan limits.
Knowing which loan fits your profile saves time. These two programs serve very different borrowers.
Conventional loans aren't backed by any government agency. Lenders take on the risk, so they price it — credit score and down payment matter a lot.
HousingWire flagged the 30-year fixed hitting 6.57% — at that rate, FHA's mortgage insurance makes the true monthly cost higher than it first appears.
Conventional loans let strong borrowers compete cleaner. In Tiburon's move-fast market, sellers favor conventional offers over FHA.
FHA imposes loan limits by county. Marin County's limit is generous by national standards, but still constrains most Tiburon purchases.
If your credit is above 700 and you can put down 10-20%, conventional wins in Tiburon. You'll get better terms and a cleaner offer.
FHA makes sense if your score is in the 580-640 range and you need a low down payment. Just know the loan limit may not stretch to most Tiburon listings.
We run both scenarios side by side for every buyer. The rate difference alone rarely tells the full story once insurance costs are factored in.
Marin County falls in a high-cost area, so FHA limits are above the national baseline. Most Tiburon properties will still exceed that ceiling.
Technically yes, but the loan limit may not cover the purchase price. You'd need to cover the gap in cash, which defeats the low-down-payment advantage.
Only if you put down less than 20%. Unlike FHA, conventional PMI cancels once you reach 20% equity in the home.
It depends on your credit and savings. FHA is more forgiving on credit. Conventional is better if you have solid financials and want a competitive offer.
Below 620, conventional isn't available — FHA is your path. Above 700, conventional typically offers better pricing with fewer insurance costs.
Yes, and many borrowers do exactly that once their equity and credit improve. It's a common way to eliminate FHA's ongoing mortgage insurance cost.