Question 1

What is the FHA loan limit in Monterey County?

Accepted Answer

Limits adjust annually and vary by county. Verify the current Monterey County FHA limit before making an offer — it directly caps what you can borrow.

Question 2

Can I buy a condo in Sand City with an FHA loan?

Accepted Answer

Yes, but the complex must be on FHA's approved list. Check FHA's condo portal before falling in love with a unit.

Question 3

How much is the down payment on an FHA loan?

Accepted Answer

3.5% down with a 580+ credit score. Scores between 500-579 require 10% down.

Question 4

Does FHA mortgage insurance ever go away?

Accepted Answer

On most FHA loans, monthly mortgage insurance stays for the life of the loan. Refinancing into conventional is the main exit strategy.

Question 5

Can sellers help with closing costs on an FHA loan?

Accepted Answer

Yes. Sellers can contribute up to 6% of the purchase price toward your closing costs and prepaids.

Question 6

Is FHA a good fit for first-time buyers in Sand City?

Accepted Answer

It depends on your credit and savings. FHA works well if your score is under 680 or you have less than 10% saved. Strong-credit buyers should compare conventional options too.

FHA Loans in Sand City, CA — Low Down, Real Results