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in Dinuba, CA
Dinuba buyers often choose between conventional and VA financing. Both work in Tulare County, but they serve different borrowers with different requirements.
Your eligibility and down payment capacity decide which loan makes sense. VA loans require military service. Conventional loans require cash down but stay open to everyone.
Conventional loans require at least 3% down for first-time buyers and 5% for repeat buyers. You need 620+ credit to qualify, though better rates start at 680.
Private mortgage insurance adds cost when you put down less than 20%. That PMI drops off once you hit 20% equity, unlike government loan insurance.
These loans work for any property type in Dinuba—single family, condo, investment property. Lenders set limits, but you control the terms based on what you bring to the table.
VA loans require zero down payment if you have valid military service. That includes active duty, veterans, and some surviving spouses with a Certificate of Eligibility.
There's no PMI on VA loans. You pay a one-time funding fee instead—usually 2.3% for first use with zero down. That fee can roll into the loan amount.
Rates run lower than conventional because the VA guarantee reduces lender risk. You need qualifying income and decent credit, but VA standards allow more flexibility than conventional underwriting.
Down payment splits these two apart. VA gives you 100% financing. Conventional demands 3-20% cash depending on your buyer status and comfort with PMI costs.
Eligibility matters more with VA—you either qualify through service or you don't. Conventional stays open to anyone who meets credit and income requirements.
Monthly costs differ because of insurance. Conventional charges PMI until you hit 20% equity. VA skips monthly insurance but charges that upfront funding fee instead.
Use VA financing if you qualify. Zero down and no PMI beat conventional terms in almost every scenario. The funding fee costs less over time than years of mortgage insurance.
Go conventional if you lack military eligibility or you're buying investment property. VA only covers primary residence purchases in Dinuba.
Cash position matters too. If you're putting 20%+ down anyway, conventional and VA rates compete closely. Below 20% down, VA wins on monthly payment for eligible buyers.
VA loans only work for primary residences that meet VA property standards. Investment properties and second homes require conventional financing.
VA rates typically run 0.25-0.50% lower than conventional rates. The gap varies based on market conditions and borrower credit profile.
No. Conventional loans typically require 620+ credit while VA loans often approve borrowers at 580-600 credit scores.
Not through standard conventional financing. You need 20% equity to cancel PMI or choose piggyback financing with a second mortgage.
Both close in similar timeframes. VA appraisals can take longer due to property requirement checks, but funding speed stays comparable.