San Diego Mortgage Loan Options — Compare Programs, Rates & Down Payments
Keypath Mortgage (NMLS #2273319) is an independent San Diego mortgage brokerage that shops your file across 40+ wholesale lenders to find you the lowest rate. Whether you are a veteran buying near Camp Pendleton with $0 down, a first-time buyer using FHA in Chula Vista, or refinancing a La Jolla home to pull out equity — we match you with the right loan program. Broker Dave Holland (NMLS #1246729) and his team are licensed in 38 states and have helped over 2,400 families close. Call (619) 900-6614 for a free, no-obligation comparison.
Compare San Diego Loan Programs at a Glance
| Loan Program | Min. Down Payment | PMI / MI | 2026 San Diego Limit | Best For |
|---|---|---|---|---|
| VA Loan | $0 (0%) | None | No limit (full entitlement) | Veterans, active-duty, Guard/Reserve, surviving spouses |
| FHA Loan | 3.5% | MIP required | $832,750 | First-time buyers, lower credit scores (580+) |
| Conventional Loan | 3% | PMI until 80% LTV | $1,104,000 (conforming) | Strong credit borrowers, second homes, condos |
| Jumbo Loan | 10%+ | None (typically) | Above $1,104,000 | High-value homes in La Jolla, Del Mar, Coronado, RSF |
| HELOC | N/A (existing home) | None | Varies by equity | Homeowners tapping equity for renovations or debt payoff |
| Cash-Out Refinance | N/A (existing home) | Varies | Per program limits | Homeowners converting equity to cash |
| Rate-and-Term Refinance | N/A (existing home) | Varies | Per program limits | Lowering your rate or switching from ARM to fixed |
VA Home Loans — $0 Down for San Diego Military Families
VA loans are the most powerful home-buying benefit available. Eligible veterans, active-duty service members, National Guard, Reserves, and qualifying surviving spouses can purchase a San Diego home with no down payment, no PMI, and no VA-imposed loan limit when using full entitlement. The 2026 partial-entitlement limit in San Diego County is $1,104,000. Keypath works with buyers near Camp Pendleton, MCAS Miramar, Naval Base San Diego, and Coronado every week.
Full VA Loan Details, Eligibility & 2026 Rates →
FHA Loans — 3.5% Down with Flexible Credit
FHA loans are insured by the Federal Housing Administration and designed for borrowers who may not qualify for conventional financing. With just 3.5% down and credit scores as low as 580, FHA is a popular choice for first-time San Diego homebuyers. The 2026 FHA loan limit in San Diego County is $832,750 for a single-family home — enough to buy in many neighborhoods including Clairemont, Mira Mesa, Escondido, and El Cajon. FHA loans do require upfront and annual mortgage insurance premiums (MIP).
- Down payment: 3.5% with 580+ credit score; 10% with 500–579
- Upfront MIP: 1.75% (can be financed into the loan)
- Annual MIP: 0.55% for most borrowers (paid monthly)
- DTI flexibility: Up to 56.9% with compensating factors
- Property types: Single-family, 2–4 unit (must owner-occupy one), FHA-approved condos
Conventional Loans — As Low as 3% Down
Conventional loans are not government-backed and follow guidelines set by Fannie Mae and Freddie Mac. They offer the widest range of options: fixed or adjustable rates, primary residence or second home, and PMI that drops off automatically at 80% loan-to-value. In 2026, the conforming loan limit in San Diego County is $1,104,000 — covering the vast majority of San Diego neighborhoods.
- Down payment: 3% (first-time buyers), 5% standard, 10–20% for best pricing
- PMI: Required below 20% down; cancels at 80% LTV
- Credit score: 620+ minimum; 740+ for the best rates
- Second homes and investment properties: Allowed (higher down payment required)
- 2026 conforming limit: $1,104,000 single-family in San Diego County
Jumbo Loans — Financing Above $1,104,000
If the home you want exceeds the $1,104,000 conforming limit — common in La Jolla, Del Mar, Coronado, Rancho Santa Fe, and Carmel Valley — you need a jumbo loan. Keypath shops jumbo products across dozens of wholesale lenders to find competitive rates without the premium pricing many banks charge.
- Down payment: Typically 10–20%
- Credit score: 700+ preferred
- Reserves: 6–12 months of mortgage payments in liquid assets
- VA Jumbo: Veterans with full entitlement can go jumbo with $0 down — see VA loan details
HELOC — Home Equity Line of Credit
A HELOC lets San Diego homeowners access their built-up equity as a revolving credit line. With San Diego home values at all-time highs, many homeowners are sitting on significant equity. Use a HELOC for home improvements, debt consolidation, education expenses, or as a financial safety net.
- Draw period: Typically 10 years (interest-only payments)
- Repayment period: 10–20 years after draw period ends
- Rate type: Usually variable (prime + margin)
- Max CLTV: Up to 90% combined loan-to-value
Refinance Options — Lower Your Rate or Access Equity
Rate-and-Term Refinance
Replace your current mortgage with a new loan at a lower interest rate, shorter term, or both — without taking cash out. Ideal if rates have dropped since you bought or if you want to switch from an adjustable-rate mortgage to a fixed rate.
Cash-Out Refinance
Refinance for more than you owe and receive the difference as cash. VA cash-out refinances allow up to 100% LTV; conventional typically caps at 80% LTV. Use the funds for renovations, debt payoff, investments, or any purpose.
VA IRRRL (Streamline Refinance)
If you already have a VA loan, the Interest Rate Reduction Refinance Loan lets you drop your rate with no appraisal, no income documentation, and a reduced 0.5% funding fee. Keypath closes IRRRLs in as little as 21 days.
Why an Independent Broker Beats a Big Bank
A bank only offers its own products at its own rates. As an independent mortgage broker, Keypath shops your loan file across 40+ wholesale lenders — including veterans-focused lenders, portfolio jumbo lenders, and niche FHA specialists — and locks in the lowest rate and fees for your specific scenario. You get one application, one point of contact, and dozens of options competing for your business.
Frequently Asked Questions About San Diego Mortgage Loans
What is the conforming loan limit in San Diego in 2026?
The 2026 conforming loan limit for a single-family home in San Diego County is $1,104,000. This applies to conventional loans backed by Fannie Mae and Freddie Mac, and it also sets the partial-entitlement VA loan cap.
Which loan program has the lowest down payment?
VA loans require $0 down for eligible veterans and service members. FHA requires 3.5% down, and some conventional programs allow as little as 3% down for first-time buyers.
Can I buy a home in San Diego with bad credit?
FHA loans accept credit scores as low as 580 with 3.5% down, or 500 with 10% down. VA loans have no VA-mandated minimum, and Keypath works with scores down to 580 on a case-by-case basis. Conventional loans typically require 620+.
How do I know which loan program is best for me?
It depends on your military service history, credit score, down payment savings, property type, and long-term goals. A 10-minute call with Keypath gives you a side-by-side comparison of every program you qualify for — no cost, no obligation.
What is PMI and how do I avoid it?
Private Mortgage Insurance protects the lender when you put less than 20% down on a conventional loan. You can avoid PMI entirely with a VA loan (no PMI ever), by putting 20%+ down on a conventional loan, or by using a piggyback second mortgage.
Can I use a HELOC as a down payment on a second home?
Yes. Many San Diego homeowners tap their HELOC for the down payment on a second property. The HELOC payment will count in your debt-to-income ratio for the new loan.
Get a Free Loan Comparison — Call Today
Not sure which program fits? Call Dave Holland at (619) 900-6614 for a same-day, no-obligation comparison of every loan program you qualify for. One call, dozens of options.
Keypath Mortgage
4901 Morena Blvd Suite 129
San Diego, CA 92117
NMLS #2273319