Question 1

Is Tustin eligible for USDA loans?

Accepted Answer

Parts of Tustin may qualify — it depends on the specific property address. Check the USDA eligibility map before assuming it won't work.

Question 2

Which loan has lower mortgage insurance?

Accepted Answer

USDA charges lower annual mortgage insurance than FHA. Over a 30-year loan, that difference adds up.

Question 3

Can I use either loan for a condo in Tustin?

Accepted Answer

FHA works for condos on the FHA-approved list. USDA rarely approves condos — it's primarily for single-family homes.

Question 4

What credit score do I need for USDA?

Accepted Answer

Most USDA lenders want a 640 credit score. FHA will go as low as 580 for 3.5% down.

Question 5

Do USDA income limits apply to Orange County?

Accepted Answer

Yes. USDA sets household income limits by county and family size. Orange County limits are adjusted for the region's higher cost of living.

Question 6

Which loan closes faster in Tustin?

Accepted Answer

FHA typically closes faster. USDA requires an extra layer of agency approval, which can add 1-2 weeks to the timeline.

FHA vs USDA Loans in Tustin, CA