Explore Your Home Loan Options in Santa Monica

As a homebuyer, it is essential you learn about the mortgages available to you before buying a home in Santa Monica. 

With so many mortgage products available to first-time buyers, you may find it overwhelming to decide on the right one.

The first thing to understand is that mortgages have different requirements and that those factors impact your interest rate and the term. Read on to dive a bit deeper into some of the more popular home loan choices to buy in Santa Monica, including Conventional, FHA, and VA home loans, so you can make an informed decision.

FHA Loans

FHA loans are rising in popularity among Santa Monica borrowers because it allows buyers with a credit score as low as 580 to buy a home. This loan option also requires as little as a 3.5% down payment to buy a home. Did you know that you can still qualify for an FHA even with a 500 credit score? It’s true! Although you’ll need to put down a larger down payment.

To qualify for an FHA loan in Santa Monica, you’ll need to meet the following criteria:

  • Credit score of 580 or higher (lower scores can still qualify!)

  • At least 3.5% down payment

  • DTI of 43% or less

  • About 2 years of stable employment

  • A property meets FHA guidelines, and the loan amount doesn’t exceed current FHA loan limits. 

Want to know if an FHA is your best option? Contact us at Nuline Funding, your preferred Santa Monica mortgage broker.

Conventional Loan

A conventional mortgage is one of the most common types of loans for Santa Monica home buyers and a good option when applying for a home loan in California.

Conventional loan terms come in 30, 15, and 10 years and are ideal for homebuyers with stable income, at least 3% down, a good credit score, and desire a fixed rate.

Ask us about current mortgage interest rates in California.

Veteran Loans

VA loans are mortgage loans insured by the Department of Veterans Affairs. In some ways, they have less strict qualification requirements than conventional loans, but you will need to based on your military status.

You won’t need a down payment or to pay for mortgage insurance with a VA loan, and closing costs are capped or possibly be paid by the seller. 

Looking For The Best Home Loan Option in Santa Monica?

Nuline Funding helps Santa Monica homebuyers choose the right home loan based on their individual preference and specific requirements. Contact us today for personalized service. 

 


* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.