Sacramento Home Mortgage Loans | The Chris Kennedy Team
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Sacramento Housing Blog

Sacramento Housing Blog

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Why Buying a Home is the Best Investment

Welcome to The Chris Kennedy Team Mortgage Blog

Honest, local, easy-to-understand mortgage guidance for buyers and homeowners across Sacramento, Placer, El Dorado, and Yolo Counties.

Hi — I'm Chris Kennedy. For years, I've helped first-time buyers, veterans, families upsizing into their forever homes, and seasoned investors navigate one of the biggest financial decisions of their lives: getting a mortgage in the greater Sacramento area.

This blog exists for one simple reason. Most mortgage advice online is generic, confusing, or written by people who've never closed a loan in Sacramento, Roseville, Folsom, El Dorado Hills, or Davis. I wanted to change that.

Every post on this site is written for you — the buyer, homeowner, or veteran trying to make sense of mortgages in a real Northern California market. Real numbers. Real neighborhoods. Real programs that actually work here.

What you'll find on this blog

Whether you're brand new to homebuying or you've owned for decades, you'll find practical, local guidance on every part of the mortgage process. The articles below cover:

For first-time buyers — How to qualify, how much you really need to put down, how to use CalHFA assistance, and how to stop waiting and start owning.

For veterans, active-duty service members, and surviving spouses — Everything you need to know about putting your VA home loan benefit to work in Sacramento, Roseville, Folsom, and beyond. Zero down. No PMI. The benefit you earned.

For move-up buyers and luxury buyers — Jumbo loan strategies for higher-priced markets like El Dorado Hills, Granite Bay, Serrano, and Bass Lake — including how to qualify, what reserves you'll need, and how to compete in luxury bidding wars.

For investors and wealth-builders — How to use FHA multi-family loans (yes, with just 3.5% down) to "house hack" your first investment property, plus the long-term wealth-building strategy that real estate quietly delivers better than almost any other investment.

For buyers in rural and semi-rural areas — A breakdown of USDA loans across Placer, El Dorado, and Yolo counties, where surprisingly large portions of the region qualify for $0-down financing.

For credit-building buyers — How FHA loans help buyers with imperfect credit get into Sacramento-area homes, plus practical credit improvement strategies that actually move the needle.

Why this blog is different

Three things set this content apart:

It's local. Every article names real neighborhoods, real Sacramento-area home prices, and real programs available in Sacramento, Placer, El Dorado, and Yolo counties — not vague national advice.

It's honest. I tell you what works, what doesn't, what the catches are, and when a loan isn't right for you. No high-pressure pitches. No fine print buried at the bottom.

It's actionable. Every post is built so that by the end, you know what to do next — whether that's running numbers, checking eligibility, or starting a conversation.

A little about me

I've spent my career helping Sacramento-area families navigate mortgages — through every kind of market, every kind of loan, and every kind of buyer situation. I've helped:

  • First-time buyers close with $0–$5,000 out of pocket using FHA + CalHFA strategies

  • Veterans buy in Sacramento, Roseville, Folsom, and El Dorado Hills with zero down

  • Move-up families step into luxury markets using jumbo financing

  • Investors build long-term wealth through smart house-hacking and refinance strategies

  • Self-employed borrowers other lenders turned away find creative solutions

My team and I serve the entire greater Sacramento region, including:

  • Sacramento County — Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, Antelope, Natomas

  • Placer County — Roseville, Rocklin, Lincoln, Auburn, Loomis, Granite Bay

  • El Dorado County — El Dorado Hills, Cameron Park, Placerville, Diamond Springs, Pollock Pines

  • Yolo County — Davis, Woodland, West Sacramento, Winters, Esparto

If you're buying anywhere in Northern California, there's a good chance we can help.

Start exploring

Scroll down to find articles tailored to your situation. If you're not sure where to begin, here are three good starting points:

Ready to talk?

Reading is great — but a 15-minute conversation will tell you more about what's possible for your specific situation than any article ever could. No pressure, no obligation, no salesy follow-up calls.

Chris Kennedy | The Chris Kennedy Team NMLS# 971546 Mortgage Lender serving Sacramento, Placer, El Dorado, and Yolo Counties www.thechriskennedyteam.com

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The Chris Kennedy Team specializes in FHA, VA, USDA, conventional, jumbo, and CalHFA loans throughout Sacramento, Roseville, Folsom, El Dorado Hills, Granite Bay, Davis, Woodland, Auburn, Lincoln, Rocklin, Cameron Park, and the surrounding Northern California region. Browse the articles below to learn more — or reach out anytime.

Assumable Mortgages in Sacramento: FHA and VA Loans

Yes, some mortgages can be taken over by the buyer, rate and all. FHA and VA loans are assumable with the loan servicer's approval. Most conventional loans are not. The catch is the gap. You take over the seller's remaining balance, and you have to cover the difference between that balance and the purchase price with cash or a second loan.

A lot of homes in Roseville, Rocklin, Lincoln, Elk Grove, and Folsom were bought or refinanced with FHA and VA loans when rates were far lower than they are today. That is why agents and buyers keep asking about this.

How an Assumption Works

  • The buyer applies with the seller's loan servicer, not a new lender.

  • The servicer checks credit and income, much like a new loan.

  • If approved, the buyer takes over the existing balance, rate, and remaining term.

  • The buyer pays the seller the difference between the price and the loan balance.

No new first mortgage is created. That is the whole appeal.

The Gap Is the Hard Part

Say a home sells for $600,000 and the seller owes $420,000 on an assumable loan. The buyer needs $180,000 to bridge the gap.

There are three ways to cover it:

  • Cash.

  • A second loan behind the assumed loan, if a lender will make one and the servicer allows it.

  • A mix of both.

A second loan will carry today's rates, usually higher than a first mortgage. So the real question is the blended cost of both loans compared with one new loan. Sometimes the assumption still wins by a mile. Sometimes it does not. Run both.

FHA Assumptions

FHA loans are assumable. For loans made in the modern era, the buyer must pass a creditworthiness review with the servicer. FHA caps what a servicer can charge to process an assumption at $1,800.

The buyer also takes over the FHA mortgage insurance that comes with the loan. Factor that into the monthly payment.

VA Assumptions

VA loans are assumable too, and the buyer does not have to be a veteran. There is a VA funding fee of 0.5% of the loan balance on an assumption, unless the buyer is exempt.

Here is the part veterans selling a home need to hear. If a non-veteran assumes your loan, your VA entitlement stays tied to that loan until it is paid off. That can limit your ability to use a VA loan on your next home. If an eligible veteran assumes it and substitutes their own entitlement, yours can be restored.

Sellers should also make sure they get a release of liability from the servicer. Without it, you could still be on the hook if the new owner stops paying.

Why These Deals Are Harder Than They Sound

  • Time. The servicer controls the process and may move slower than a normal purchase loan. Build extra time into the contract.

  • The gap. Big equity means big cash.

  • Finding them. Listings do not always advertise the loan type. Your agent may need to ask.

  • Servicer experience. Some handle assumptions well. Some do not.

None of that makes it a bad idea. It makes it a deal that needs a plan on day one.

When an Assumption Makes Sense

  • The seller's rate is well below current rates.

  • The seller's balance is high compared with the price, so the gap is small.

  • The buyer has cash or solid second loan options.

  • Both sides can live with a longer closing.

When a New Loan Is Better

  • The gap is large and the second loan erases most of the savings.

  • The seller needs a fast close.

  • A veteran seller needs entitlement back for the next purchase and the buyer is not a veteran.

Frequently Asked Questions

Which mortgages are assumable? FHA and VA loans are assumable with servicer approval. Most conventional loans have a due on sale clause and cannot be assumed.

Do you have to be a veteran to assume a VA loan? No. A non-veteran can assume a VA loan if the servicer approves them. The seller's entitlement stays tied to the loan unless an eligible veteran substitutes their own.

How much cash do you need to assume a mortgage? Enough to cover the difference between the purchase price and the seller's remaining loan balance, plus closing costs. Some of that gap may be financed with a second loan.

Is an assumable mortgage cheaper than a new loan? It can be when the assumed rate is much lower and the gap is small. Compare the blended cost of the assumed loan plus any second loan against one new loan.

How long does a loan assumption take? It depends on the servicer. It can run longer than a standard purchase, so plan for extra time in the contract.

Found a home with an assumable loan, or selling one? Call or text (916) 794-0777 or visit thechriskennedyteam.com for a side by side comparison of the assumption against a new loan. The Chris Kennedy Team at Reliant Lending serves Sacramento, Placer, and El Dorado counties. NMLS #971546. Company NMLS #356310. This is general education and not a commitment to lend. All loans are subject to credit approval and program guidelines.

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