Last reviewed: September 20, 2026

    Purchase and refinance

    Conventional Loans in San Diego

    Financing for move-up buyers, second homes, rate-and-term refinances, and cash-out refinances within San Diego County’s $1,104,000 high-balance limit.

    Quick Answer

    What is a conventional loan in San Diego?

    A conventional mortgage follows Fannie Mae or Freddie Mac guidelines rather than being insured by FHA or guaranteed by VA. In 2026, San Diego County’s high-balance conforming limit is $1,104,000 for a one-unit property; conventional financing can support move-up purchases, second homes, rate-and-term refinancing, and cash-out refinancing.

    — Cascada Mortgage Advisors, Inc.

    When conventional is the right tool

    Move-up purchase

    Finance a primary residence when standard income, credit, asset, and property requirements fit your profile.

    Second home

    Purchase an eligible second home with conventional occupancy, reserve, and property rules.

    Rate-and-term refinance

    Restructure an existing mortgage to change the rate, term, or loan type after comparing costs and savings.

    Cash-out refinance

    Replace an existing mortgage and access eligible equity, subject to valuation and loan-to-value limits.

    San Diego’s $1,104,000 high-balance limit

    For a one-unit property in 2026, a conventional loan at or below $1,104,000 may qualify for high-balance conforming treatment in San Diego County. The limit applies to the loan amount, not the purchase price; loans above it are generally considered jumbo.

    Private mortgage insurance (PMI)

    PMI may be required when a conventional loan begins above 80% loan-to-value. Its cost depends on factors including credit, loan-to-value, occupancy, property type, and coverage requirements.

    PMI is different from homeowners insurance: it protects the lender against borrower default. Cancellation or automatic termination depends on payment history, the loan’s original value, investor requirements, current value when applicable, and federal law.

    What lenders review

    Income and employment stability
    Credit history and monthly debts
    Funds for closing and required reserves
    Property type, occupancy, and appraisal
    Requested loan amount and loan-to-value
    The purpose and benefit of a refinance

    Conventional Loan FAQs

    The 2026 high-balance conforming limit for a one-unit property in San Diego County is $1,104,000. Loans above that amount are generally jumbo loans.

    Yes. Conventional financing can cover an eligible second home when occupancy, property, credit, down payment, and reserve requirements are met.

    A rate-and-term refinance replaces an existing mortgage primarily to change its rate, term, or structure without taking substantial cash out. The value depends on closing costs, payment changes, and how long you expect to keep the loan.

    A cash-out refinance replaces your current mortgage with a larger loan and returns part of your equity as cash at closing. Available proceeds depend on property value, liens, occupancy, credit, and program limits.

    Private mortgage insurance may be required above 80% loan-to-value and protects the lender, not the borrower. Cancellation depends on payment history, property value, investor requirements, and federal law.
    Mortgage calculatorJumbo loansRefinance assistant

    Compare your conventional loan options

    Cascada Mortgage Advisors, Inc. compares purchase and refinance options from 100+ wholesale lenders.

    Call OmarGet Pre-Approved