Question 1

What credit score do I need for a conventional loan in Live Oak?

Accepted Answer

Most lenders require at least 620. Scores above 740 get the best rate tiers.

Question 2

Can I get a conventional loan with 3% down in Sutter County?

Accepted Answer

Yes, first-time buyers can qualify with 3% down on conforming conventional programs. PMI applies until you reach 20% equity.

Question 3

Does PMI go away on a conventional loan?

Accepted Answer

Yes. Conventional PMI cancels automatically at 20% equity. FHA mortgage insurance often stays for the life of the loan.

Question 4

Are conventional loans harder to get in rural areas like Live Oak?

Accepted Answer

Not necessarily harder, but some lenders add overlays on rural markets. The right lender makes the difference.

Question 5

How does my debt-to-income ratio affect approval?

Accepted Answer

Most conventional lenders cap DTI at 45-50%. Lower DTI gives you more loan options and better pricing.

Question 6

Should I choose a conventional loan or FHA in Live Oak?

Accepted Answer

If your credit is 680 or above and you can put down 5%+, conventional usually costs less long-term. FHA makes sense for lower scores.

Conventional Loans in Live Oak, CA