Given my current scores (see below) what loan will be the best option for me? I am eligible for VA but is conventional a better route? Any advice will be greatly appreciated.
Because financing can fall through easier if the appraisal doesn't merit the sales price being asked. The preapproval won't mean anything because the house didn't appraise high enough, and then the seller would either have to find another buyer or drop the price and/or make repairs.
Well, in terms of FHA vs. conventional...the property conditions for FHA are more strict, so repairs might be ordered for FHA but not for conventional.
While I think it is always in the best interest of the buyer, it may not be the best situation for the buyer in a seller's market. For instance, FHA guidelines require a home with a pool to be clean, clear and blue. If the pool is green and needs cleaning, but the house is in pristine condition, unless the pool issue is resolved, that deal is sunk. But I truly agree that the appraisal and inspection is in the best interest of the buyer. However, some discretion would be nice in such a tight market.