Question 1

What credit score do I need for a conventional loan in SJC?

Accepted Answer

Lenders require a 620 minimum. In San Juan Capistrano's price range, aim for 700+ to get competitive rates.

Question 2

Can I avoid PMI with a conventional loan?

Accepted Answer

Yes. Put 20% down and PMI never applies. Hit 20% equity later and you can request cancellation.

Question 3

How does the conforming loan limit affect my purchase?

Accepted Answer

Borrow above the limit and you're in jumbo territory. That changes your rate, reserves, and qualification requirements.

Question 4

Are conventional loans harder to get than FHA loans?

Accepted Answer

They require stronger credit but have fewer property restrictions. In SJC, that trade-off usually favors conventional.

Question 5

Do conventional loans work for SJC's older historic homes?

Accepted Answer

Generally yes. Conventional appraisals are less restrictive on property condition than FHA guidelines.

Question 6

Why use a broker instead of a bank for a conventional loan?

Accepted Answer

We shop your file across 200+ wholesale lenders. One application gets you competing offers a single bank can't match.

Conventional Loans in San Juan Capistrano, CA