Question 1

What is the FHA loan limit in Santa Barbara County?

Accepted Answer

FHA loan limits are set by county and updated annually. Contact us for the current Santa Barbara County limit — it directly caps what you can borrow.

Question 2

Can I use an FHA loan to buy a vacation property in Solvang?

Accepted Answer

No. FHA loans require the home to be your primary residence. Investment and vacation properties don't qualify.

Question 3

Does the property need to pass an FHA inspection?

Accepted Answer

Yes. FHA appraisers check for health and safety issues. Older Solvang homes may need repairs before the loan closes.

Question 4

How long does FHA mortgage insurance last?

Accepted Answer

With less than 10% down, MIP stays for the life of the loan. Put 10% or more down and it drops off after 11 years.

Question 5

Can I use gift money for my FHA down payment?

Accepted Answer

Yes. FHA allows 100% of the down payment to come from a gift. The donor must provide a signed gift letter confirming no repayment is required.

Question 6

How does an FHA loan compare to conventional in Solvang?

Accepted Answer

FHA is easier to qualify for with lower credit scores. But MIP adds long-term cost that conventional PMI usually doesn't — refinancing later can help.

FHA Loans in Solvang, CA: Low Down Payment Options