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in Chula Vista, CA
Chula Vista buyers choosing between conventional and FHA loans face a real tradeoff. Conventional demands more down payment but skips mortgage insurance at 80% LTV.
FHA opens the door with 3.5% down but carries mortgage insurance for life if you put less than 10% down. San Diego County's median household income is $102,285, which supports purchases well into the $700,000 range.
Both programs hit the 2026 conforming limit of $1,104,000, so loan size won't separate them here. The choice hinges on your savings, credit, and how long you plan to stay.
Conventional at 6.25% interest works best when you have real savings. At 80% LTV the payment is $4,618 with no PMI.
Underwriting wants documented income and two years of work history. Plan on reserves beyond the down payment, typically three to six months of housing costs.
FHA at 5.875% interest opens doors for buyers with modest savings. The 3.5% down minimum means you keep more cash at closing.
Mortgage insurance runs for life if you stay below 90% LTV. The upfront MIP of 1.75% rolls into your loan amount and never goes away unless you refinance.
Local decision guide
Use this comparison to weigh Conventional Loans and FHA Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Chula Vista.
Chula Vista buyers choosing between conventional and FHA loans face a real tradeoff. Conventional demands more down payment but skips mortgage insurance at 80% LTV.
FHA opens the door with 3.5% down but carries mortgage insurance for life if you put less than 10% down. San Diego County's median household income is $102,285, which supports purchases well into the $700,000 range.
Both programs hit the 2026 conforming limit of $1,104,000, so loan size won't separate them here. The choice hinges on your savings, credit, and how long you plan to stay.
Conventional requires 20% down to avoid PMI; FHA lets you start with 3.5%. That gap matters most when savings are tight.
Conventional's PMI cancels at 78% LTV automatically. FHA's mortgage insurance never leaves unless you refinance out of FHA later.
The rate spread favors FHA here: 5.875% versus 6.25%. That 37.5-basis-point advantage cuts your monthly payment by $181.
Choose conventional if you have substantial savings and plan to stay 10+ years. You'll hit 80% LTV, skip PMI entirely, and build equity faster.
Choose FHA if your savings are limited or you might move within seven years. The 3.5% down keeps cash in your pocket, and the lower rate cuts your monthly cost.
Conventional at 6.25% runs $4,618 per month on a $750,000 loan. FHA at 5.875% runs $4,437 per month. FHA saves $181 monthly but includes lifetime mortgage insurance.
No. Conventional loans start at 3% down, but PMI applies above 80% LTV. At 20% down, PMI vanishes entirely. The tradeoff is lower rate and no insurance cost versus smaller down payment and PMI.
Yes, but only if you put 10% or more down. With 10%+ down, MIP cancels after 11 years. Below 10% down, MIP runs for the life of the loan unless you refinance.
FHA makes more sense. With limited savings, conventional requires PMI. FHA's 3.5% minimum keeps your cash intact and carries a lower rate, so the monthly payment is smaller.
Yes. FHA accepts 580 FICO with 3.5% down. Conventional typically requires 620+. If your credit is between 580 and 620, FHA is often your only path to a 30-year fixed loan.