Question 1

What's the monthly payment on a $750,000 VA loan in Santa Cruz?

Accepted Answer

Principal and interest run $4,258 monthly at 5.5% on a $750K purchase with zero down. That's before taxes, insurance, and HOA. The funding fee (0.197 discount points, $1,478 up front) rolls into the loan.

Question 2

Do I need to be disabled to get a VA loan?

Accepted Answer

No. Any veteran, active-duty service member, or surviving spouse with a Certificate of Eligibility qualifies. Disability rating only matters for funding-fee exemption—you need 10% or higher to skip the fee.

Question 3

Can I use a VA loan to buy a condo in Santa Cruz?

Accepted Answer

Yes. VA loans work on single-family homes, condos, and manufactured homes. The property must meet VA minimum standards, but there's no restriction on property type.

Question 4

What credit score do I need for a VA loan?

Accepted Answer

Most lenders require 740+ FICO. Some go as low as 620 with compensating factors, but 740 is the standard floor in Santa Cruz's market.

Question 5

Does the VA funding fee ever go away?

Accepted Answer

No—it's a one-time cost that stays with the loan for life. Refinancing to a conventional loan is the only way to shed it. For a $750K loan, that fee is roughly $16,125.

VA 30-Year Fixed in Santa Cruz: Zero-Down Financing for Veterans