Rohnert Park Mortgage FAQs: Your Questions Answered by Local Loan Experts

Conventional loans require 3-5% down, FHA loans need 3.5%, and VA loans offer zero down for eligible veterans. Your credit score and property type affect which programs you qualify for.

Most lenders approve FHA loans at 580, conventional loans at 620, and jumbo loans at 680-700. Higher scores unlock better rates and lower down payment requirements.

Most conventional and FHA loans close in 21-30 days. Bank statement and asset depletion loans need 30-45 days for underwriting.

Bring two years of tax returns, recent pay stubs, two months of bank statements, and your ID. Self-employed borrowers may use 1099 forms or bank statements instead of W-2s.

FHA accepts lower credit scores and smaller down payments but requires mortgage insurance for life below 10% down. Conventional loans drop PMI at 20% equity and allow higher loan amounts.

Yes. Bank statement loans use 12-24 months of deposits to prove income, and profit & loss loans work for businesses without two years of tax returns.

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

Yes. ITIN loans require 15-20% down and use employment verification letters or bank statements to document income.

Expect 2-4% of the purchase price for lender fees, title insurance, escrow, and property taxes. On a $600,000 home, that's $12,000-$24,000.

DSCR loans approve based on the property's rental income, not your W-2 earnings. You need the rent to cover 100-125% of the mortgage payment.

Each point costs 1% of your loan amount and typically reduces your rate by 0.25%. It makes sense if you're keeping the loan at least 5-7 years.

The 2024 conforming limit is $766,550 for single-family homes. Above that, you need a jumbo loan with stricter credit and reserve requirements.

Yes. Some lenders offer lender-paid mortgage insurance at a slightly higher rate, or you can use a piggyback second mortgage to avoid PMI.

Lenders want your total housing payment under 43-50% of gross monthly income. Calculate 4-5 times your annual income as a rough purchase price limit.

ARMs offer lower initial rates for 3, 5, 7, or 10 years, then adjust annually based on market indexes. They work best if you'll sell or refinance before adjustment.

These loans qualify you using investment accounts, retirement funds, or savings divided by 360 months as monthly income. You need substantial assets and 20-30% down.

Yes. VA loan entitlement restores after selling the previous property, and you can use it multiple times throughout your life.

Bridge loans provide short-term financing when buying before selling your current home. They're expensive but solve timing gaps in competitive markets.

You can withdraw or borrow from 401(k) and IRA accounts, but early withdrawals trigger taxes and penalties. Some asset depletion loans count retirement funds without withdrawing them.

Interest-only loans let you pay just interest for 5-10 years, lowering initial payments but building no equity. They suit high-income borrowers expecting income growth.

No. Rohnert Park doesn't meet USDA rural designation requirements, so you'd need FHA, VA, or conventional financing instead.

These loans offer reduced down payments and flexible credit requirements for low-to-moderate income buyers. Requirements vary by lender and local housing authority.

Yes. FHA 203(k) and conventional renovation loans bundle purchase and repair costs into one mortgage based on the after-repair value.

You can renegotiate the price, bring extra cash to close the gap, or walk away if you have an appraisal contingency in your contract.

Foreign nationals need 30-40% down, a U.S. bank account, and passport verification. Some lenders accept foreign credit reports in place of U.S. credit history.

Lock if rates are rising or you're risk-averse. Float if rates are dropping and you can handle potential increases before closing.

Portfolio ARMs offer flexible underwriting for complex income situations or unique properties that don't fit agency guidelines. Expect slightly higher rates than conforming loans.

On refinances, yes. On purchases, you can't exceed the appraised value, but sellers can credit up to 3-9% depending on your down payment size.

Hard money loans fund fix-and-flip projects or properties needing major repairs that don't qualify for traditional financing. Rates run 8-12% with short 6-24 month terms.

HELOCs let you borrow against your home equity as needed during a 10-year draw period. You pay interest only on what you use, with variable rates.

Recent bankruptcies, foreclosures, collections, and late payments hurt approval odds. Most programs require 2-4 years from major credit events with clean history since.

Yes. Lenders count 0.5-1% of the balance as monthly payment, or use your actual payment if it's higher and documented on your credit report.

Jumbo loans exceed $766,550 and require higher credit scores, larger down payments, and 6-12 months of reserves. Rates sometimes match or beat conforming rates.

Lenders average your last two years of income after business deductions. Writing off too much income can reduce your buying power even with strong cash flow.

DSCR loans skip income verification and work for multiple rental properties, but require 20-25% down. Conventional investor loans need income proof but offer better rates with 15% down.