FHA, VA, or conventional? How your loan type changes your mortgage odds in New Jersey
Approval rates, denial rates, and pricing differ sharply by loan program. Here's what eight years of New Jersey data shows for each.
The loan program you choose changes more than your down payment — it changes your odds of approval and what you’ll pay. Here is how the four main programs compare across New Jersey home purchases, 2018–2025.
| Loan type | Approval rate | Denial rate | Decisions | Avg. rate spread |
|---|---|---|---|---|
| Conventional | 91.4% | 8.6% | 636,911 | +0.22 pp |
| FHA | 86.1% | 13.9% | 159,486 | +1.05 pp |
| VA | 88.2% | 11.8% | 30,094 | +0.02 pp |
| USDA | 87.3% | 12.7% | 3,303 | +0.62 pp |
Conventional loans dominate by volume and post the highest approval rates — but they demand stronger credit and larger down payments. FHA opens the door to lower-down-payment and lower-credit buyers, which is exactly why its denial rate runs higher and its pricing (rate spread) sits above conventional. VA loans, for eligible veterans, combine strong approval odds with no down payment and no mortgage insurance. USDA serves a small rural slice of the state.
The right program depends on your profile — and which lenders are friendliest to it. See the best lenders for FHA, VA, low-down-payment and high-DTI buyers by county, or check your own approval odds.
Check it against your own situation
Every figure here is from the federal record — and free to download.
See who approves you →Download the data →