FHA Loan California | Extreme Loans

Q: What is the minimum credit score for an FHA loan in California?

The minimum credit score is 500. To qualify for 3.5% down, you need 580 or higher.

Q: Is mortgage insurance required on an FHA loan in California?

Yes. FHA loans require upfront MIP and annual MIP paid monthly.

Looking for an FHA loan in California? Extreme Loans is a licensed California mortgage lender offering FHA home loans with low down payments, flexible credit requirements, and fast closings. Whether you are buying in Los Angeles, San Diego, Sacramento, or the Bay Area, our Extreme Mortgage Bankers are ready to help you close — fast, honestly, and without the confusion.

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What Is an FHA Loan?

An FHA loan is a government-backed mortgage insured by the Federal Housing Administration. It is popular with California buyers because it makes homeownership accessible even with limited savings or less-than-perfect credit:

Down payment as low as 3.5% with a 580+ credit score
Credit scores as low as 500 may qualify
Higher DTI allowed — up to 57% in some cases
Higher loan limits in California — many CA counties have FHA limits well above the national floor

California FHA Loan Limits

California has some of the highest FHA loan limits in the country due to elevated home prices. High-cost counties — including Los Angeles, Orange County, San Diego, Santa Clara, and San Francisco — qualify for significantly higher FHA limits than the national baseline. Contact Extreme Loans for the current FHA loan limit in your specific California county.

Who Should Get an FHA Loan in California?

An FHA loan is a strong choice for California buyers who:

Are purchasing their first home and want a low down payment
Have a credit score below 700 and want to avoid conventional loan penalties
Are buying in a high-cost California market and need higher loan limits
Have a higher debt-to-income ratio that conventional lenders will not approve
Want to refinance an existing FHA loan with an FHA Streamline

FHA Loan Requirements in California

Minimum credit score: 500 (580+ to get 3.5% down)
Down payment: 3.5% with 580+ credit; 10% with 500–579 credit
Primary residence only: FHA loans are for owner-occupied homes
Mortgage insurance: Upfront MIP plus annual MIP required
Stable income history: Two years of employment preferred

Why California Buyers Choose Extreme Loans

Licensed in California: We are fully licensed to originate FHA loans in California (NMLS #2025962)
14-day average close: We move fast in one of the most competitive real estate markets in the country
In-house underwriting: No third-party delays — decisions happen inside our walls
4.9-star Google rating: Over 1,700 verified reviews from real borrowers
One dedicated banker: The same person handles your file from application to closing
No bait-and-switch: We quote real rates based on your actual profile

We serve California borrowers from Los Angeles to San Francisco, San Diego to Sacramento — and everywhere in between.

FHA Streamline Refinance in California

If you already have an FHA loan in California, you may qualify for an FHA Streamline Refinance to lower your rate and monthly payment. Streamline refinances require minimal paperwork, often no new appraisal, and close faster than a full refinance. Ask us if you qualify.

Frequently Asked Questions: FHA Loans in California

What is the FHA loan limit in California?

California FHA loan limits vary by county. High-cost counties like Los Angeles, San Francisco, Orange County, and San Diego have limits well above the national standard. Limits are updated annually by HUD. Contact Extreme Loans for current limits in your county.

What is the minimum credit score for an FHA loan in California?

The minimum credit score for an FHA loan is 500. To qualify for the 3.5% down payment, you need a score of 580 or higher. Extreme Loans works with California borrowers starting at 550.

Can I use an FHA loan to buy a condo in California?

Yes, but the condo complex must be FHA-approved. Not all California condo projects are on the FHA approved list. Your Extreme Mortgage Banker can check approval status for you.

How fast does Extreme Loans close FHA loans in California?

Our average close time is 14 days from application to closing. California transactions can vary based on county recording requirements and appraisal availability, but we work aggressively to keep timelines short.

Is mortgage insurance required on an FHA loan in California?

Yes. FHA loans require an upfront mortgage insurance premium (typically 1.75% of the loan, usually rolled into the loan balance) and an annual MIP paid monthly for the life of the loan in most cases.

Start Your California FHA Loan Today

Apply online in minutes or call 844-CLOSE-FAST. An Extreme Mortgage Banker will review your file and get you moving toward closing.

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Extreme Loans | NMLS #2025962 | 29444 Northwestern Hwy. Ste. 100, Southfield, MI 48034 | Equal Housing Lender