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Del Mar sits at the northern edge of San Diego County's coastal premium. A $937,500 purchase with 20% down runs $4,437 monthly at 5.875%, locking in predictable payments for 30 years without PMI.
Conventional loans dominate this price tier because they avoid the lifetime mortgage insurance that FHA carries. At 80% LTV, you're done paying insurance the moment you close.
5.875%
Interest Rate
$4,437
Monthly P&I
740
Min FICO
$750,000
Loan Amount
20% ($187,500)
Down Payment
Conventional Loans in Del Mar
Conventional loans at this price require 740 FICO minimum, though 760+ gets better rates. Down payment starts at 20% ($187,500 on a $937,500 purchase) to skip PMI entirely. Less than 20% down triggers PMI until you hit 78% LTV.
San Diego County's median household income of $102,285 stretches to cover a $937,500 home comfortably at conventional rates. Debt-to-income ratio caps at 43% for most borrowers, meaning your total monthly debt can't exceed $3,682.
Local decision guide
Use this guide to connect conventional loans eligibility, lender expectations, and local market factors before comparing payment options in Del Mar.
Del Mar sits at the northern edge of San Diego County's coastal premium. A $937,500 purchase with 20% down runs $4,437 monthly at 5.875%, locking in predictable payments for 30 years without PMI.
Conventional loans dominate this price tier because they avoid the lifetime mortgage insurance that FHA carries. At 80% LTV, you're done paying insurance the moment you close.
Conventional loans at this price require 740 FICO minimum, though 760+ gets better rates. Down payment starts at 20% ($187,500 on a $937,500 purchase) to skip PMI entirely. Less than 20% down triggers PMI until you hit 78% LTV.
California's conventional market splits between retail banks and mortgage brokers. Retail lenders (Wells Fargo, Chase, Bank of America) move slowly but offer in-branch support. Brokers access multiple wholesale lenders and close faster, typically 21-28 days.
Fannie Mae and Freddie Mac set the rules for all conventional loans statewide. Both agencies allow 80% LTV with zero PMI, 5% down with PMI, and automated cancellation at 78% LTV. Rates vary by lender but the program structure stays identical.
Conventional wins in Del Mar above $750,000 because FHA's lifetime mortgage insurance costs more over 30 years than the rate premium you'd pay on FHA. At $750,000 borrowed, FHA MIP runs 0.55% annually forever—that's $4,125 per year you'll never recover.
The tradeoff: conventional requires 20% down and 740+ FICO. If you're at 10% down or 680 FICO, FHA pencils better despite the insurance. But at 20% down with 740 credit, conventional is the math winner in this market.
FHA loans run lower rates than conventional but carry mortgage insurance for the life of the loan if you put down less than 10%. At 20% down, conventional has no insurance—FHA still does unless you refinance.
VA loans offer zero down with no PMI, but only eligible veterans qualify. For a non-veteran buyer at 20% down, conventional and VA rates are close. The real difference: VA funding fee replaces PMI; conventional has neither at 80% LTV.
Del Mar's location between Solana Beach and Rancho Santa Fe commands premium pricing. Buyers here typically hold 7-10 years, making a 30-year fixed the natural choice—you lock the rate and let equity build without refinancing risk.
The $937,500 purchase price reflects coastal proximity and school district reputation. Conventional financing at 20% down appeals to buyers who've built equity elsewhere and want to avoid PMI drag on their next property.
At 5.875% on a $750,000 loan, principal and interest run $4,437 monthly. Add property tax, insurance, and HOA—total housing cost typically runs $6,200-$6,800 depending on your specific property.
Yes. 20% down (80% LTV) is the only way to skip PMI on a conventional loan. Below 20%, PMI applies until you reach 78% LTV through paydown or refinancing.
740 FICO minimum. Lenders above 760 get better rates. Below 740, you'll face rate penalties or denial. Most Del Mar buyers sit 760+.
Typically 21-28 days from application to funding. Brokers often close faster than retail banks. Del Mar properties sometimes require appraisal review due to price volatility, which can add 3-5 days.
Yes. You can put down 5-19% and carry PMI. PMI cancels automatically at 78% LTV. On a $937,500 purchase, that's roughly 8-10 years of payments depending on home appreciation.