Question 1

Can I use a VA loan more than once?

Accepted Answer

Yes, VA loans are reusable. You restore full entitlement after selling, or use remaining entitlement for a second property.

Question 2

Does VA no-money-down mean higher rates?

Accepted Answer

No. VA rates match or beat conventional because the government guarantee reduces lender risk. Rates vary by borrower profile and market conditions.

Question 3

What credit score do I need for conventional in Morgan Hill?

Accepted Answer

Minimum 620, but 680+ unlocks better rates. Strong income and low debt-to-income help with borderline credit.

Question 4

Can I avoid PMI with less than 20% down on conventional?

Accepted Answer

Only through lender-paid PMI, which trades higher rates for no monthly insurance. You still pay—just differently.

Question 5

Does the VA funding fee make conventional cheaper?

Accepted Answer

Rarely. Even with the 1.25-3.3% fee, VA's lack of ongoing PMI saves more over the loan life.

Question 6

Which loan closes faster in Santa Clara County?

Accepted Answer

Both take 30-45 days typically. VA appraisals add a few days, but the difference is minimal with experienced lenders.

Conventional vs VA Loans in Morgan Hill: Which Fits Your Service & Savings Goals?