Question 1

Can I use a VA loan to buy in Gilroy?

Accepted Answer

Yes. VA loans work for primary residences in Gilroy. You need a valid Certificate of Eligibility and must occupy the home.

Question 2

Does VA or conventional have lower rates?

Accepted Answer

VA rates typically run lower. But your credit score and loan size affect both. Rates vary by borrower profile and market conditions.

Question 3

What credit score do I need for each loan?

Accepted Answer

Most lenders want 620 for conventional. VA has no official minimum, but most lenders require at least 580–620.

Question 4

Is the VA funding fee worth it?

Accepted Answer

Usually yes. Skipping the down payment and PMI saves more long-term than the one-time funding fee costs upfront.

Question 5

Can I avoid PMI on a conventional loan in Gilroy?

Accepted Answer

Put down 20% and PMI goes away. You can also cancel it once you reach 20% equity through payments or appreciation.

Question 6

Which loan closes faster in Santa Clara County?

Accepted Answer

Conventional often closes slightly faster. VA requires a VA appraisal, which can add a few days to the timeline.

Conventional vs VA Loans in Gilroy, CA