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Tehama's market sits in the $900K range for solid family homes. At 5.875%, a $750,000 conforming loan carries a $4,437 monthly payment for principal and interest. That's the baseline before taxes, insurance, and HOA fees.
The county's median household income of $61,834 means most buyers here are stretching to reach the $937,500 purchase price. Conforming loans work because they follow agency rules—Fannie Mae and Freddie Mac set the terms, not individual lenders.
5.875%
Interest Rate
$4,437
Monthly PI Payment
740
Minimum FICO
$750,000
Loan Amount
20% ($187,500)
Down Payment
30 days
Rate Lock Period
Conforming Loans in Tehama
You need a 740 FICO minimum to qualify for conforming loans at the best rates. Down payment ranges from 5% to 20%, though 20% down eliminates PMI entirely. At 80% LTV with 20% down, there's no mortgage insurance cost.
Tehama County's median household income of $61,834 stretches to cover a $937,500 purchase with conforming financing. Lenders typically want your housing payment below 28% of gross income.
Local decision guide
Use this guide to connect conforming loans eligibility, lender expectations, and local market factors before comparing payment options in Tehama.
Tehama's market sits in the $900K range for solid family homes. At 5.875%, a $750,000 conforming loan carries a $4,437 monthly payment for principal and interest. That's the baseline before taxes, insurance, and HOA fees.
The county's median household income of $61,834 means most buyers here are stretching to reach the $937,500 purchase price. Conforming loans work because they follow agency rules—Fannie Mae and Freddie Mac set the terms, not individual lenders.
You need a 740 FICO minimum to qualify for conforming loans at the best rates. Down payment ranges from 5% to 20%, though 20% down eliminates PMI entirely. At 80% LTV with 20% down, there's no mortgage insurance cost.
Conforming loans are the easiest to place in California because Fannie Mae and Freddie Mac buy them immediately. Rates are tighter than jumbo, underwriting is faster, and closing happens in 30–45 days.
The conforming limit in Tehama County is $832,750, so loans up to that amount follow agency rules. Above that, you're in jumbo territory with stricter credit, larger reserves, and higher rates.
Conforming makes sense in Tehama for anyone buying under $832,750 with 20% down and a 740+ FICO. The rate is locked in, the timeline is predictable, and there's no PMI drag. This is the cleanest path to a $937,500 home.
Where conforming falls short: if you're putting down less than 20%, PMI adds $150–$200 monthly. If your FICO is below 740, the rate jumps 0.25–0.5%. At that point, FHA might pencil better despite lifetime insurance.
FHA loans run lower rates than conforming but carry mortgage insurance for life if you put down less than 10%. With 3.5% down on FHA, you'd pay less monthly upfront—but that insurance never cancels. Conforming at 20% down has no insurance at all.
VA loans offer zero down with no PMI, but only for eligible veterans. Jumbo loans above $832,750 run 0.25–0.5% higher in rate and require 20% down plus six months reserves. For a Tehama buyer at $937,500 with 20% down, conforming is the straightforward choice.
Tehama County's population of 65,520 means this is a tight-knit rural market. Homes here hold value because they're scarce and the community is stable. A 30-year conforming loan locks in your rate while the market stays predictable.
Schools and agriculture anchor the local economy. Buyers who plan to stay long-term benefit from conforming's fixed rate—no surprises over three decades. That stability matters in a county where median income is $61,834 and every dollar counts.
At 5.875% APR on a $750,000 loan, principal and interest run $4,437 monthly. Add property taxes, insurance, and HOA if applicable. This scenario assumes 20% down, 740 FICO, 30-day lock, primary residence, single-family home.
Yes. At 20% down (80% LTV), there is no PMI. Below 20% down, PMI is required until you hit 78% LTV through paydown. PMI typically costs $150–$200 monthly on a $750,000 loan.
740 FICO is the floor for the best rates. Scores below 740 face rate penalties of 0.25–0.5%. Scores below 680 may not qualify at all. Lenders pull all three bureaus and use the middle score.
Conforming loans close in 30–45 days because Fannie Mae and Freddie Mac buy them immediately. Underwriting is straightforward. Appraisal and title work are the main timeline drivers.
At 20% down with 740+ FICO, conforming wins—no insurance, locked rate, faster close. With less than 10% down, FHA's lower rate may offset lifetime insurance. Call for today's FHA quote to compare.