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in La Mesa, CA
Both FHA and VA loans offer lower down payments than conventional financing in La Mesa. The key difference: VA requires military service, FHA doesn't.
Most San Diego County borrowers qualify for FHA. Veterans get better terms with VA — zero down, no mortgage insurance, better rates.
Your service history determines which path you take. If you qualify for both, VA beats FHA in almost every scenario.
FHA loans accept credit scores as low as 580 with 3.5% down. You'll pay mortgage insurance for the life of the loan unless you put down 10% or more.
Debt-to-income ratios can go up to 50% with strong compensating factors. This flexibility helps La Mesa buyers with student loans or car payments qualify.
FHA caps loan amounts at $644,000 in San Diego County for 2024. Above that ceiling, you need a jumbo or conventional loan.
VA loans require zero down payment and charge no monthly mortgage insurance. That savings runs $200-400 monthly on typical La Mesa home prices.
You need a Certificate of Eligibility proving military service. Active duty, veterans with honorable discharge, and some surviving spouses qualify.
VA allows 100% financing up to $766,550 in San Diego County with no jumbo rate hit. Above that, you make a 25% down payment on the excess only.
Down payment separates these programs immediately. FHA needs 3.5% minimum, VA allows zero.
Mortgage insurance hits harder with FHA — 1.75% upfront plus 0.55% annually. VA charges a funding fee once (2.3% for first-time zero-down buyers) but no monthly premium.
Credit standards favor FHA slightly. VA lenders typically want 620+ scores, though the program itself has no minimum.
Property conditions matter more with VA. Their appraisers flag issues FHA might pass — peeling paint, roof wear, safety hazards all trigger repair requirements.
If you have a Certificate of Eligibility, use VA. The zero down and no mortgage insurance create permanent savings FHA can't match.
Non-veterans default to FHA for low down payment options. The 3.5% requirement beats conventional 5-10% minimums for most first-time buyers.
Some veterans choose FHA when buying fixer-uppers VA appraisers would reject. You can always refinance to VA later once repairs are done.
Credit below 600 might push you toward FHA even with VA eligibility. More lenders approve marginal FHA files than marginal VA files in practice.
No, you pick one loan type per purchase. If you qualify for VA, you'd typically choose it over FHA for the cost savings.
VA rates run 0.25-0.50% lower than FHA on average. The rate gap varies daily based on market conditions and your credit profile.
Yes, but the project must be approved by FHA or VA. Most established La Mesa condo complexes maintain both approvals.
You can still use remaining entitlement for a La Mesa purchase. We calculate available entitlement based on your current usage and county loan limits.
Legally yes, though it's rare. Some sellers worry about appraisal issues or longer timelines, but qualified buyers close reliably with both programs.