Question 1

What's the conforming loan limit in Yolo County for 2026?

Accepted Answer

The 2026 conforming limit is $832,750. Loans above that amount require jumbo financing with stricter credit and down-payment rules.

Question 2

Is Davis an FHA high-cost area?

Accepted Answer

Yes. Davis is designated as an FHA high-cost area for 2026. The FHA limit here is $764,750.

Question 3

What down payment do I need to avoid PMI on a conventional loan?

Accepted Answer

Yes — 20% down eliminates PMI on a conventional loan. Below 20% down, PMI applies until you reach 78% LTV.

Question 4

How much do I need to earn to qualify for a mortgage in Davis?

Accepted Answer

Lenders typically want your housing payment under 28% of gross income. At Yolo County's median of $88,818, that supports roughly $2,000 monthly.

Question 5

Can I get a VA loan with zero down in Davis?

Accepted Answer

Yes. VA loans allow zero down for eligible veterans and surviving spouses with a Certificate of Eligibility. The funding fee ranges from 2.15% to 3.3%.

Question 6

What's the credit score minimum for FHA in Davis?

Accepted Answer

FHA requires a minimum FICO of 580 with 3.5% down. A score of 620 or higher typically qualifies for better rates.

Question 7

Does Measure V affect Davis home prices?

Accepted Answer

Measure V, approved in June 2026, allows housing development at Village Farms. This could increase supply over time, but immediate price impact depends on construction timeline.

Question 8

How long does it take to close a mortgage in Davis?

Accepted Answer

Most conventional loans close in 30 to 45 days from application. FHA and VA loans may take 45 to 60 days due to extra appraisal steps.

Question 9

What's the difference between FHA and conventional for Davis buyers?

Accepted Answer

FHA requires 3.5% down and allows lower credit scores. Conventional requires 5% to 20% down and PMI cancels at 78% LTV.

Question 10

Can I carry two mortgages while buying in Davis?

Accepted Answer

Yes. If you have equity or savings, carrying two mortgages is possible. Lenders will count both payments toward your debt-to-income ratio.

Question 11

What does the California Honey Festival tell us about Yolo County?

Accepted Answer

The expanded Honey Festival in nearby Woodland reflects Yolo County's agricultural roots. This heritage influences local zoning and development patterns affecting Davis housing.

Question 12

Can I use a USDA loan in Davis?

Accepted Answer

USDA loans require properties in designated rural areas. Davis itself is not USDA-eligible, but some surrounding Yolo County areas may qualify.

Question 13

What's the jumbo loan cutoff in Davis?

Accepted Answer

Any loan above $832,750 is considered jumbo in 2026. Jumbo loans typically require 20% down, 700+ FICO, and six months of reserves.

Question 14

How does UC Davis affect the local mortgage market?

Accepted Answer

UC Davis drives demand from faculty, staff, and students. This creates steady buyer interest, which supports property values and lender appetite for Davis mortgages.

Davis mortgage questions answered