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in Fairfield, CA
Fairfield buyers often face this choice: conventional financing with its flexibility, or a VA loan with zero down payment. Both work well in Solano County, but the right pick depends on your service record and cash position.
Most veteran buyers assume VA is automatic. That's not always true. Conventional loans beat VA in specific scenarios, especially if you're buying a condo or competing in multiple offers.
Conventional loans follow Fannie Mae and Freddie Mac guidelines. You need 620+ credit for most programs, though 3% down options exist. Rates vary by borrower profile and market conditions.
These loans work for any property type in Fairfield. Investment properties qualify. Condos clear underwriting faster than VA. You pay PMI under 20% down, but you can cancel it once you hit equity.
VA loans eliminate the down payment entirely. You still pay closing costs, but nothing out of pocket for the purchase price. Veterans and active-duty service members with 90+ days qualify.
The funding fee ranges from 1.4% to 3.6% of the loan amount. Disabled veterans skip this fee. VA loans have no monthly PMI, which saves hundreds per month compared to low-down conventional.
Down payment separates these programs most. VA requires nothing. Conventional needs 3% minimum. That's $15,000 on a $500,000 Fairfield home versus zero with VA.
Closing speed matters in competitive markets. Conventional loans close in 21 days typically. VA takes 30-45 days due to appraisal requirements. Sellers pick conventional when multiple offers land.
Use VA if you qualify and plan to live in the home. The zero-down structure and no PMI beat conventional for most veterans. You save cash for repairs and furniture.
Choose conventional if you're buying a condo with VA approval issues, need a fast close, or want an investment property. Also pick conventional if you're a veteran with 20%+ down — you skip PMI and avoid the funding fee.
Yes. Veterans can choose conventional financing. This makes sense for condos without VA approval or when competing against cash offers with fast closes.
First-time VA buyers pay 2.3% of the loan amount. Subsequent uses cost 3.6%. Disabled veterans pay zero funding fee regardless of use count.
Most do. Conventional loans close faster and have fewer appraisal complications. Strong VA offers with short timelines can still win in slower markets.
Both hit the same conforming limit. VA becomes more powerful at higher prices since you avoid the larger down payment conventional requires.
Yes, if you occupy one unit. VA allows up to four units as owner-occupied. Conventional also works but requires 15-25% down for multifamily.