Weed, CA Mortgage FAQ: Local Rates, Loans & Buying Guidance from SRK CAPITAL

FHA loans start at 580 for 3.5% down. Conventional loans typically require 620 or higher for the best rates and terms.

FHA requires 3.5% down, conventional allows 3%, and USDA offers 0% down for rural properties. VA loans also require no down payment for qualifying veterans.

Yes, most of Siskiyou County qualifies for USDA rural development loans. These offer 0% down payment for eligible buyers with moderate income.

Most purchases close in 30-40 days. Refinances often take 3-4 weeks once you submit complete documentation.

Not automatically, but properties on large acreage or with well/septic may require specialized lenders. We shop lenders comfortable with rural Siskiyou County properties.

FHA 203k and conventional renovation loans cover purchase plus repairs in one loan. The property must meet minimum safety standards at closing.

Bring two years of tax returns, recent pay stubs, two months of bank statements, and photo ID. Self-employed borrowers need business tax returns and profit/loss statements.

Traditional loans require two years of tax returns showing steady income. Bank statement loans use 12-24 months of deposits instead of tax returns for qualified self-employed buyers.

Yes, bank statement loans calculate income from business deposits rather than tax returns. They typically require 10-20% down and slightly higher rates.

Expect 2-5% of the purchase price for fees, title insurance, escrow, and prepaid taxes. On a $250,000 home, that's roughly $5,000-$12,500.

Yes, sellers can contribute up to 6% on conventional loans and 6% on FHA loans. This is common in slower markets.

Yes, if you put down less than 20%. PMI costs 0.3-1.5% of the loan amount annually and drops off once you reach 20% equity.

FHA allows lower credit scores and 3.5% down but charges mortgage insurance for the loan's life. Conventional drops PMI at 20% equity and offers better rates above 680 credit.

ARMs offer lower initial rates if you plan to move or refinance within 5-7 years. Fixed-rate loans make more sense if you're staying long-term.

Yes, DSCR loans approve based on rental income, not personal income. Expect 20-25% down and rates about 0.5-1% higher than owner-occupied loans.

DSCR loans qualify you based on the property's rental income instead of your W-2. They work well for investors with multiple properties or self-employment income.

The property rent must cover at least 100% of the mortgage payment. Most lenders prefer 1.2x coverage for best rates and terms.

Yes, second homes require 10-15% down on conventional loans. The property must be at least 50 miles from your primary residence and not rented out.

CalHFA offers down payment assistance statewide. VA and USDA loans provide 0% down options for qualified buyers in rural areas like Weed.

Pre-qualification is an estimate based on what you tell us. Pre-approval means we've verified income, assets, and credit with a full underwriting review.

Lenders typically approve debt-to-income ratios up to 43-50%. If you earn $5,000 monthly, expect approval for roughly $2,150-$2,500 in total monthly debts including the mortgage.

Points cost 1% of the loan amount and reduce your rate by roughly 0.25%. They make sense if you keep the loan longer than 3-4 years.

Most lenders require a purchase contract before locking. Locks typically last 30-60 days, so time your lock when you expect to close.

You can renegotiate the price, bring extra cash to cover the gap, or cancel if you have an appraisal contingency. We can also request a reconsideration of value with supporting data.

Properties over 10 acres often need portfolio lenders or USDA loans. We work with lenders experienced in rural Siskiyou County properties with wells and septic systems.

Yes, FHA and conventional loans allow gifts from family members. You'll need a gift letter stating the money doesn't require repayment.

We originate loans as low as $75,000, which covers most Weed properties. Many big banks won't touch loans under $150,000.

Chapter 7 requires a two-year wait for FHA and four years for conventional. Chapter 13 allows FHA after one year with payment history and court permission.

Yes, once you reach 20% equity through payments or appreciation. You'll need a new appraisal and enough equity to justify refinance costs.

Portfolio ARMs adjust after an initial fixed period and work for buyers expecting income growth or planning to refinance. They often beat fixed-rate pricing short-term.

Yes, foreign national loans require 25-30% down and use international credit and income documentation. We work with lenders specializing in non-resident financing.

Yes, ITIN loans are available with similar terms to conventional mortgages. You'll need proof of income, typically through tax returns or bank statements.

Your rate lock may expire, requiring an extension fee. Sellers can also cancel the contract if delays violate your purchase agreement terms.

We've closed loans in as few as 14 days with complete documentation and motivated borrowers. Standard timeline is 30-35 days for purchase transactions.

Yes, rates vary by borrower profile and market conditions. Government loans often have lower rates but higher fees, while portfolio products may price higher but offer flexibility.