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in San Juan Bautista, CA
Choosing between conventional and VA financing in San Juan Bautista comes down to eligibility and money upfront. Veterans get a no-down-payment option that conventional buyers can't match.
Both loans work for single-family homes and multi-unit properties in San Benito County. The right choice depends on your military service and how much cash you want to keep after closing.
Conventional loans require 3% down minimum for first-time buyers, 5% for repeat buyers. You'll pay PMI until you hit 20% equity, which adds $50-200 monthly on most San Juan Bautista purchases.
Credit scores below 620 won't fly with most lenders. Debt-to-income needs to stay under 50%, and you'll show two years of steady employment and tax returns.
VA loans put veterans into homes with zero down and no PMI ever. You pay a one-time funding fee of 2.15% to 3.3%, which rolls into the loan amount.
Credit requirements are flexible—most lenders approve 580+ scores. The Certificate of Eligibility proves your service qualifies, and you can use this benefit repeatedly throughout your life.
Down payment separates these loans most dramatically. Conventional buyers need $15,000-$80,000 saved for typical San Juan Bautista homes, while VA buyers close with just inspection and appraisal costs.
Monthly costs differ too. VA borrowers skip PMI permanently, saving $100-250 monthly versus conventional loans under 20% down. Rates vary by borrower profile and market conditions, but VA rates typically run 0.25-0.5% lower.
Use your VA eligibility if you have it—the zero-down benefit beats conventional financing in almost every scenario. You preserve cash for renovations, emergencies, and furnishing your San Juan Bautista home.
Go conventional only if you're not VA-eligible or buying an investment property that exceeds VA limits. Conventional also makes sense when seller contributions cover your down payment completely.
VA loans work for single-family homes and 2-4 unit properties you'll occupy. Investment properties and some condos without VA approval don't qualify.
PMI costs 0.5-1.5% of the loan amount annually, divided into monthly payments. On a $400K loan, expect $165-500 added to your monthly payment until you reach 20% equity.
VA appraisals add 3-5 days because of additional property inspections. Overall closing timelines are similar—30-45 days for both loan types in San Benito County.
Yes. Active duty, reserves, National Guard, and certain service periods all qualify. You need 90 consecutive days of active service during wartime or 181 days during peacetime.
Conventional lenders require 620 minimum. VA lenders often approve 580+ scores, though you'll get better rates above 640 on either loan type.