Loading
Conventional Loans in Stockton
Stockton's housing market favors conventional loans for buyers with solid credit and stable income. Most properties here fall below conforming limits, making conventional financing the most competitive option.
San Joaquin County sees strong conventional loan activity across established neighborhoods and newer developments. Rates typically beat FHA pricing when you bring 10% or more down.
You need 620 minimum credit for conventional approval, though 680+ unlocks better pricing. Income must be verified through W-2s, tax returns, or documented business revenue.
Down payments start at 3% for first-time buyers, 5% for everyone else. Put down 20% and you skip PMI entirely. Debt-to-income ratios max out at 50% with strong compensating factors.
Not all lenders price conventional loans the same. Credit unions often excel at smaller loan amounts common in Stockton, while correspondent lenders may offer better execution on multi-unit properties.
We shop your scenario across 200+ wholesale lenders to find competitive pricing. Rate differences of 0.25% to 0.5% between lenders are common on identical borrower profiles.
Stockton buyers often qualify for conventional when they think they need FHA. Run the numbers both ways before choosing—FHA's upfront mortgage insurance costs 1.75% of your loan amount.
If you're between 5% and 20% down, compare conventional PMI costs against FHA. Conventional PMI drops off at 78% LTV automatically. FHA's mortgage insurance never disappears on loans after 2013.
Conventional beats FHA when your credit exceeds 680 and you can manage 10% down. Below that threshold, FHA pricing often wins despite its mortgage insurance structure.
Jumbo loans kick in above conforming limits—currently $806,500 in San Joaquin County. If you're buying near that ceiling, conventional conforming loans offer better rates and terms than stepping into jumbo territory.
Stockton's property tax rate runs about 1.1% to 1.3% depending on assessment district. Lenders factor this into qualifying ratios, so higher tax areas reduce your buying power slightly.
Multi-unit properties are common here and work well with conventional financing. You can buy a duplex or triplex with 15% down and use projected rental income to qualify. San Joaquin County appraisals typically support these values without drama.
Minimum is 620, but 680 or higher gets you better rates and pricing. The difference can save you thousands over the loan term.
First-time buyers can put down 3%, everyone else needs 5% minimum. You'll pay PMI until you reach 20% equity.
Conventional wins with 680+ credit and 10% down. Below that, FHA often prices better despite permanent mortgage insurance.
Yes, you can finance up to four units with 15% down. Projected rental income from the extra units helps you qualify.
PMI automatically terminates at 78% loan-to-value. You can request removal at 80% with a current appraisal.
The limit is $806,500 for single-family homes. Stay below this threshold to access the best conventional rates.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.