Question 1

What's the 2026 conforming loan limit in Santa Clara County?

Accepted Answer

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

Question 2

Is Santa Clara County an FHA high-cost area?

Accepted Answer

Yes. Santa Clara County is designated a high-cost area for FHA loans. The $1,249,125 limit applies, and MIP rules remain standard.

Question 3

Is Santa Clara County a VA high-cost area?

Accepted Answer

Yes. VA loans in Santa Clara County cap at $1,249,125. Zero-down financing is available for eligible veterans and active-duty service members.

Question 4

How much do I need to put down on a conventional loan in Milpitas?

Accepted Answer

Conventional loans require a minimum 3% down. At 5% to 10% down, PMI applies. At 20% down or more, PMI is avoided entirely.

Question 5

What credit score do I need to buy in Milpitas?

Accepted Answer

Conventional loans typically require 620+ FICO. FHA loans accept 580+ FICO with 3.5% down. Jumbo loans usually demand 700+ FICO.

Question 6

How does Santa Clara University's new medical school affect the Milpitas market?

Accepted Answer

Santa Clara University and Sutter Health are launching the Bay Area's first medical school in over 100 years. This brings physician training and professional jobs to the region, supporting long-term demand for housing.

Question 7

Do I need to be a first-time buyer to qualify for FHA in Milpitas?

Accepted Answer

No. FHA loans are available to any buyer, repeat or first-time. The 3.5% minimum down and lower credit floor make FHA accessible across income levels.

Question 8

What's the difference between FHA MIP and conventional PMI?

Accepted Answer

FHA MIP runs for the loan's life if down payment is under 10%. Conventional PMI cancels at 78% LTV. Both protect the lender when you put down less than 20%.

Question 9

Can I get a jumbo loan in Milpitas without 20% down?

Accepted Answer

Jumbo loans typically require 20% down minimum. Some lenders accept 15% down with strong credit and reserves. Terms are stricter than conforming loans.

Question 10

How does the median household income in Santa Clara County affect my qualification?

Accepted Answer

Santa Clara County's median household income is $159,674. Lenders use debt-to-income ratios to qualify you, not income alone. Higher income helps, but debt matters equally.

Question 11

What happens if my loan amount exceeds $1,249,125?

Accepted Answer

You'll need jumbo financing. Jumbo loans sit above the conforming limit and typically carry rates 0.125% to 0.5% higher than conforming loans.

Question 12

Is PMI required on a 10% down conventional loan?

Accepted Answer

Yes. PMI applies on any conventional loan with less than 20% down. At 10% down, PMI cancels when you reach 78% LTV through payments or refinancing.

Question 13

Can I avoid PMI by using an 80/10/10 loan structure?

Accepted Answer

Yes. An 80/10/10 splits the financing into an 80% first mortgage, a 10% second mortgage, and 10% down payment. This avoids PMI but adds a second payment.

Question 14

What's the VA funding fee on a zero-down loan in Milpitas?

Accepted Answer

The VA funding fee is 2.15% of the loan amount on first-time use with zero down. Veterans with a 10%+ disability rating are exempt from this fee.

Question 15

How long does it take to close on a home in Milpitas?

Accepted Answer

Most closings take 30 to 45 days from offer to funding. Jumbo loans and cash-out refinances may extend to 45 to 60 days due to additional underwriting.

Milpitas mortgage questions answered