Question 1

Can I use FHA to buy a fixer-upper in Point Arena?

Accepted Answer

FHA requires homes to meet minimum property standards. Major repairs often must be completed before closing — that rules out true fixer-uppers.

Question 2

Does FHA or conventional cost less per month?

Accepted Answer

It depends on your credit score and down payment. Run both scenarios — FHA's MIP can exceed conventional PMI for strong-credit borrowers.

Question 3

Can I cancel FHA mortgage insurance later?

Accepted Answer

If you put less than 10% down, FHA MIP lasts the life of the loan. Refinancing into a conventional loan is the main exit.

Question 4

What credit score do I need for conventional?

Accepted Answer

Most conventional lenders require at least 620. Better rates kick in meaningfully at 700 and above.

Question 5

Are FHA loan limits high enough for Mendocino County?

Accepted Answer

FHA sets county-level loan limits annually. Confirm the current Mendocino County limit before assuming FHA covers your target purchase price.

Question 6

Which loan is faster to close?

Accepted Answer

Conventional loans typically close faster. FHA appraisals take longer and may require repairs before funding.

Conventional vs FHA Loans in Point Arena, CA