Question 1

What's the monthly payment on a $750,000 conforming loan in Scotts Valley?

Accepted Answer

At 5.875% (as of April 9, 2026), principal and interest run $4,437 per month on a $750,000 loan. Add property taxes, insurance, and HOA fees — typically $800-1,200 more. Your total housing payment will be $5,200-5,600 monthly.

Question 2

Do I need 20% down to avoid PMI on a conforming loan?

Accepted Answer

Yes. At 20% down (80% LTV), there is no PMI. Below 20%, PMI is required and stays until you hit 78% LTV or refinance. On a $937,500 home, 20% down is $187,500. That's the threshold that kills the insurance.

Question 3

What credit score do I need to qualify for a conforming loan here?

Accepted Answer

Lenders typically require 680+ FICO, though 740+ gets you the best rates and terms. At 740 FICO with 20% down, you'll qualify easily. Below 660, expect overlays or denial from most lenders.

Question 4

How long does it take to close a conforming loan in Santa Cruz County?

Accepted Answer

Conforming loans typically close in 30-45 days. Appraisals take 7-10 days, title work 5-7 days, and underwriting 10-15 days. Your bottleneck is usually the appraisal, not the lender.

Question 5

Is a conforming loan better than FHA for a $937,500 home in Scotts Valley?

Accepted Answer

At 20% down, yes. Conforming has no PMI; FHA carries lifetime insurance if you put down less than 10%. Over 30 years, that insurance costs $50,000+. Conforming wins on total cost.

Conforming 30-year fixed mortgages in Scotts Valley: 5.875% on $750K loans