Question 1

What's the 2026 conforming loan limit in San Mateo County?

Accepted Answer

The 2026 conforming limit is $1,249,125. Loans above that amount require jumbo financing, which typically demands 20% down and a stronger credit profile.

Question 2

Do I need 20% down to buy in South San Francisco?

Accepted Answer

Yes — conventional loans allow 3% to 5% down, though PMI applies. FHA accepts 3.5% down with a 580+ FICO score. VA buyers with eligibility put zero down.

Question 3

What credit score do I need to qualify?

Accepted Answer

Conventional loans typically require 620+ FICO; FHA accepts 580+. VA loans have no stated minimum, but lenders often require 620+. Higher scores get better rates.

Question 4

Is San Mateo County an FHA high-cost area?

Accepted Answer

Yes. San Mateo is designated an FHA high-cost area, which means FHA loan limits match the conforming limit of $1,249,125 for 2026.

Question 5

Is San Mateo County a VA high-cost area?

Accepted Answer

Yes. VA loan limits in San Mateo County also reach $1,249,125 in 2026, allowing eligible veterans to finance at the full conforming ceiling.

Question 6

How much does PMI cost on a conventional loan?

Accepted Answer

PMI typically runs 0.3% to 1.5% annually of the loan amount, depending on your down payment and credit score. It cancels at 78% LTV automatically or 80% LTV on request.

Question 7

What's the difference between FHA and conventional financing?

Accepted Answer

FHA requires 3.5% down minimum and charges mortgage insurance for the life of the loan if down is under 10%. Conventional needs 3% down but PMI cancels at 80% LTV.

Question 8

Can I use a VA loan if I'm on active duty?

Accepted Answer

Yes. Active-duty service members, veterans, and surviving spouses with a Certificate of Eligibility can use VA financing with zero down and no PMI.

Question 9

What does the Bespoke development mean for South San Francisco property values?

Accepted Answer

The approved mixed-use project at the former Talbot's site adds commercial space and affordable housing downtown. New development typically supports neighborhood stability and long-term appreciation.

Question 10

How long does closing take in South San Francisco?

Accepted Answer

Standard closing runs 30 to 45 days from loan application to funding. Jumbo loans may take slightly longer due to additional underwriting steps.

Question 11

What income do I need to qualify for a mortgage here?

Accepted Answer

There's no hard income floor, but lenders use debt-to-income ratios (typically 43% to 50% max). San Mateo's $156,000 median household income is a useful benchmark for what the market supports.

Question 12

Do I need to sell my current home before buying in South San Francisco?

Accepted Answer

No. Bridge loans and contingent offers exist, though they're less common. Most buyers secure financing based on their current assets and income, not home-sale proceeds.

Question 13

What's the difference between a jumbo loan and a conforming loan?

Accepted Answer

Jumbo loans exceed $1,249,125 and typically require 20% down, 700+ FICO, and stronger reserves. Rates usually run 0.125% to 0.5% above conforming.

Question 14

Can I get a VA loan if I have a service-connected disability?

Accepted Answer

Yes. VA loans are available to all eligible veterans and active-duty members regardless of disability status. A 10%+ disability rating exempts you from the VA funding fee.

South San Francisco mortgage FAQ — answers for local buyers