Question 1

What is the FHA loan limit in Santa Clara County?

Accepted Answer

Santa Clara County follows high-cost FHA limits set annually by HUD. Check current limits before you shop — they determine your max purchase price with FHA financing.

Question 2

Can I use FHA to buy a condo in Gilroy?

Accepted Answer

Yes, but the condo project must be FHA-approved. Not all Gilroy condo complexes qualify — we check the HUD approval list before you make an offer.

Question 3

How long does FHA mortgage insurance last?

Accepted Answer

With less than 10% down, FHA MIP stays for the life of the loan. Putting 10% or more down lets you cancel MIP after 11 years.

Question 4

Will sellers in Gilroy accept FHA offers?

Accepted Answer

Most will. FHA appraisals flag property condition issues, but a solid pre-approval and clean offer terms make FHA competitive in Gilroy's market.

Question 5

Can I use gift funds for my FHA down payment?

Accepted Answer

Yes. FHA allows 100% of your down payment to come from a qualified gift. The donor just needs to sign a gift letter confirming no repayment is expected.

Question 6

Is FHA better than conventional for first-time buyers in Gilroy?

Accepted Answer

If your credit is under 680 or your down payment is under 10%, FHA usually wins on rate and approval odds. Rates vary by borrower profile and market conditions.

FHA Loans in Gilroy, CA — Low Down, Real Buying Power