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in Tiburon, CA
Both FHA and USDA loans are government-backed. Both offer below-market entry points. But in Tiburon, only one of them is likely to work.
Tiburon sits in Marin County — one of the most expensive markets in California. That geography alone eliminates one of these programs for most buyers here.
FHA loans require just 3.5% down with a 580 credit score. Drop to 500 and you still qualify — with 10% down.
You'll pay mortgage insurance upfront and monthly. That's the tradeoff for the flexible credit standards and low down payment.
USDA loans offer zero down payment. No PMI in the traditional sense — just a low annual guarantee fee.
The catch: the property must be in a USDA-eligible area, and your household income must fall under the program's limits.
Local decision guide
Use this comparison to weigh FHA Loans and USDA Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Tiburon.
Both FHA and USDA loans are government-backed. Both offer below-market entry points. But in Tiburon, only one of them is likely to work.
Tiburon sits in Marin County — one of the most expensive markets in California. That geography alone eliminates one of these programs for most buyers here.
FHA loans require just 3.5% down with a 580 credit score. Drop to 500 and you still qualify — with 10% down.
FHA has no location requirement. USDA does. That single difference is decisive in a city like Tiburon.
Tiburon is not designated as a USDA-eligible area. High median incomes in Marin County also push most buyers over the USDA income ceiling.
For Tiburon buyers, USDA is almost certainly off the table. The area eligibility map doesn't cover this part of Marin.
FHA is the realistic government-loan option here. It's not cheap — Marin County prices mean you're financing a lot — but it gets buyers in with less cash upfront.
Tiburon is not in a USDA-designated eligible area. Most of Marin County doesn't qualify due to population density and income levels.
580 gets you the 3.5% down option. You can go as low as 500 with 10% down, though fewer lenders go that low.
Yes. Household income must fall under USDA's county-level cap. Marin County's cap is higher than most, but Tiburon incomes often exceed it.
USDA typically has lower ongoing fees than FHA. But that comparison only matters if you're eligible for USDA in the first place.
The home must meet FHA condition standards and fall under Marin County's FHA loan limit. Your broker can confirm current limits.
Yes, both do. FHA charges upfront and monthly MIP. USDA charges an upfront guarantee fee and a small annual fee instead.