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in Ripon, CA
Ripon buyers with military service face a clear choice: use VA benefits or go conventional. Both loans work well in San Joaquin County, but your down payment, credit profile, and service eligibility change which one saves you money.
Conventional loans offer flexibility for any qualified buyer. VA loans deliver unmatched benefits for veterans but come with property and eligibility requirements that don't fit every deal.
Conventional loans are the workhorse of California home financing. You need decent credit (typically 620+) and at least 3% down, though 20% avoids private mortgage insurance.
These loans work for any property type Ripon offers—single-family homes, condos, investment properties. Lenders price them based on your credit score, down payment, and debt-to-income ratio, so stronger profiles get better rates.
VA loans eliminate the down payment barrier entirely for eligible veterans and active-duty service members. You pay a funding fee (waived for disabled veterans) instead of monthly mortgage insurance.
The VA doesn't set a maximum loan amount, but lenders cap loans based on your income and debts. Ripon's more affordable housing means most veterans can buy without hitting any ceiling.
The down payment gap is massive. Conventional borrowers putting 5% down on a median Ripon home need $20,000-30,000 saved. VA buyers need $0 (though you still cover closing costs).
Monthly costs differ too. Conventional loans under 20% down carry PMI—typically $100-200 monthly. VA loans skip this but charge an upfront funding fee you can roll into the loan. Credit score matters more for conventional pricing.
If you qualify for VA benefits, use them. The zero-down advantage and no PMI overwhelm any conventional loan benefit unless you're buying a fixer-upper that won't pass VA appraisal.
Conventional makes sense when you're not eligible for VA, buying an investment property, or need to close fast on a competitive listing. Some Ripon sellers prefer conventional offers because they close more predictably.
Only if it meets VA minimum property requirements. Homes needing major repairs often fail VA appraisal, forcing you to conventional or FHA 203(k) rehab loans.
No. VA rates typically match or beat conventional rates because the government guarantee reduces lender risk.
VA lenders typically want 580-620 minimum. Conventional starts at 620 but you'll pay premium rates until you hit 680-700.
Yes if you receive VA disability compensation. Otherwise it's 1.4-3.6% depending on down payment and whether it's your first VA loan.
Conventional usually closes 2-3 days faster. VA appraisals take longer and sometimes require repairs before funding.