Question 1

What is the 2026 conforming loan limit in San Joaquin County?

Accepted Answer

The 2026 conforming limit is $832,750. VA loans also cap at $832,750. FHA tops out at $678,500.

Question 2

Do I need 20% down to buy in Lathrop?

Accepted Answer

Yes — 20% down avoids PMI on conventional loans. Conventional accepts 5% to 10% down with PMI. FHA requires 3.5% minimum. VA allows zero down.

Question 3

What credit score do I need?

Accepted Answer

Conventional loans typically require 620 or higher. FHA accepts 580 with a larger down payment. Most VA lenders want 620+.

Question 4

Is San Joaquin County an FHA high-cost area?

Accepted Answer

Yes. FHA is designated high-cost here, affecting the upfront mortgage insurance premium. The 2026 limit is $678,500.

Question 5

How much does PMI cost on a conventional loan?

Accepted Answer

PMI typically runs 0.5% to 1.5% annually on the loan balance. It cancels automatically at 78% LTV.

Question 6

What's the difference between FHA and conventional here?

Accepted Answer

FHA allows 3.5% down but charges mortgage insurance for life if down payment is under 10%. Conventional PMI cancels at 78% LTV.

Question 7

Can I use a VA loan in Lathrop?

Accepted Answer

Yes. VA loans are available up to $832,750 in 2026 with zero down for eligible veterans and active-duty service members.

Question 8

What does the VA funding fee cost?

Accepted Answer

The funding fee is 2.15% of the loan amount on first-time use with zero down. It rolls into the loan. Veterans with 10%+ disability rating are exempt.

Question 9

How does the Asparagus Festival affect the Lathrop market?

Accepted Answer

The festival brings tourism and regional attention to San Joaquin County. It signals a growing community that attracts buyers.

Question 10

What income do I need to qualify?

Accepted Answer

San Joaquin County's median household income is $88,531. Lenders want your gross monthly income to support the loan payment plus existing debts.

Question 11

Can I get FHA with less than 3.5% down?

Accepted Answer

No. FHA's minimum down payment is 3.5% with a 580 FICO score. No lower option exists within FHA.

Question 12

What's the upfront cost of FHA mortgage insurance?

Accepted Answer

FHA charges 1.75% of the loan amount upfront. This amount rolls into your mortgage and gets financed.

Question 13

Do VA loans have a rate penalty versus conventional?

Accepted Answer

VA rates are typically competitive with conventional. The funding fee replaces PMI, so total cost is often similar or lower.

Question 14

What happens if I put 10% down on FHA?

Accepted Answer

FHA mortgage insurance cancels after 11 years with 10%+ down. With less than 10% down, it lasts the life of the loan.

Question 15

Is Lathrop a good market for first-time buyers?

Accepted Answer

Yes. FHA and VA options keep down payments low. The county's median income supports entry-level purchases in the $400,000 to $550,000 range.

Lathrop mortgage FAQ: questions from local buyers