Question 1

Can I use VA with 10% service-connected disability?

Accepted Answer

Yes, and your funding fee gets waived entirely. That saves 2.15% upfront — over $12,000 on a $600,000 loan.

Question 2

Does FHA mortgage insurance ever drop off?

Accepted Answer

Only if you put 10%+ down, then it drops after 11 years. Below 10% down, MIP lasts the full 30 years.

Question 3

Which loan is easier to get approved?

Accepted Answer

Both accept 580 credit and recent credit events. VA tends to be more flexible on debt ratios for strong military borrowers.

Question 4

Can I buy a condo in Pismo Beach with either loan?

Accepted Answer

Yes, but check FHA's approved condo list first. VA has a simpler process and approves projects FHA rejects.

Question 5

What if I'm over the VA loan limit?

Accepted Answer

There is no limit if you have full entitlement. Lenders approve based on your income, not a cap.

Question 6

Should I wait for rate cuts to apply?

Accepted Answer

Fed officials expect cuts later this year, but timing the market is guessing. Lock when you find the right property.

FHA vs VA Loans in Pismo Beach: Which Government Loan Fits Your Coast Home Purchase?