Loan Options
FHA Loans
Dreaming of buying a home in San Diego or across California, but worried about coming up with a massive down payment? An FHA loan might be your perfect solution. Backed by the Federal Housing Administration, these loans offer more flexible credit requirements and much lower down payments than traditional mortgages. At Secured Lending Group, we specialize in helping first-time buyers and those with complex financial backgrounds successfully secure FHA financing in today’s competitive market.
3.5%
580
Yes
What an FHA loan is
An FHA loan is insured by the Federal Housing Administration. While that insurance protects the lender rather than you, it’s the exact reason lenders can offer smaller down payments and more flexible credit requirements than a conventional loan allows.
For many California buyers, an FHA loan is the difference between waiting several more years to save up and buying a home today.
Key Benefits
Low down payment
Put down as little as 3.5% of the purchase price instead of the 10–20% a conventional loan often expects.
Lower credit score requirements
Qualify with a score as low as 580, or from 500 if you can put 10% down.
Competitive interest rates
FHA rates stay competitive even when your credit score is on the lower end, which keeps the monthly payment manageable.
Flexible debt-to-income ratios
More room for existing debt than conventional guidelines allow, so student loans or a car payment need not disqualify you.
Assumable loan
A future buyer can take over your mortgage at its original rate — a real selling point if rates have risen since you closed.
Who FHA loans suit
First-time buyers
The low down payment and relaxed credit standards make this the most common first mortgage in the country.
Buyers with limited savings
If the deposit is what is holding you back rather than the monthly payment, FHA closes that gap.
Credit that needs work
Past financial setbacks are treated more forgivingly here than under conventional underwriting.
Requirements at a glance
Requirement
What it means
Minimum credit score
580 with 3.5% down, or 500–579 if you put 10% down.
Down payment
From 3.5% of the purchase price. Gift funds from family are allowed.
Mortgage insurance
An upfront premium at closing plus a monthly premium for the life of most FHA loans.
Occupancy
The property must be your primary residence — not a rental or a holiday home.
Loan limits
Set per county and updated annually. San Diego County sits well above the national floor.
Worth knowing: the monthly mortgage insurance usually stays for the life of the loan. Many buyers use FHA to get in, then refinance to a conventional loan once they hold 20% equity. We will map out that path with you at the start rather than leaving you to discover it later.
Common Questions
The 3.5% down payment plus closing costs, which usually run 2–5% of the purchase price. Sellers can contribute toward closing costs on an FHA loan, and gift funds are permitted for the down payment.
Yes, but the building itself has to be FHA-approved. We check the approval status before you make an offer, so you do not lose a deposit on a property that cannot be financed this way.
Pre-approval usually comes back within 24 hours once we have your documents. Full underwriting to closing typically runs 30 to 45 days.
Yes. Once you have enough equity, refinancing to a conventional loan removes the monthly mortgage insurance. There is also an FHA Streamline Refinance if you simply want a lower rate with minimal paperwork.
At a glance
Down payment
From 3.5%
Credit score
580+
Loan type
Loan type
Occupancy
Primary home
Assumable
Yes
Belinda Biedebach
NMLS #1556597
Not sure whether FHA is the right route? A short call usually settles it faster than a form.
See what you qualify for
Pre-approval takes about ten minutes online and comes back within a day. No cost, no obligation, no effect on your credit score to find out.