Question 1

What's the 2026 conforming loan limit in San Luis Obispo?

Accepted Answer

$806,500 for single-family homes. Above that, you need a jumbo loan with stricter requirements and higher rates.

Question 2

Can I use a conforming loan on a fixer-upper?

Accepted Answer

Only if it's habitable at closing. Major repairs require a renovation loan like Fannie Mae HomeStyle, which has different guidelines.

Question 3

How much do conforming rates vary between lenders?

Accepted Answer

We see 0.25% to 0.5% spread on identical scenarios. That's $50-$100 monthly on a $500,000 loan—$18,000 to $36,000 over 30 years.

Question 4

Does PMI affect my approval on a conforming loan?

Accepted Answer

PMI is factored into your debt-to-income ratio. Lenders approve you with it included, so it doesn't block deals—just increases monthly payment.

Question 5

Can self-employed buyers get conforming loans in SLO?

Accepted Answer

Yes, with two years of tax returns showing stable income. Lenders average your net profit after deductions, so write-offs reduce buying power.

Conforming Loans in San Luis Obispo — Your Gateway to Competitive Rates