Contact Info
Conventional Loans
Conventional home loans are one of the most popular types of loans and a great choice for many home buyers. Conventional mortgages can be used to purchase primary, secondary, and investment properties.
While conventional loans come with more rigorous standards than most government-backed loans, they offer several unique benefits that make them a good mortgage option for first-time homebuyers.
Conventional Loan Guidelines
- Freddie Mac and Fannie Mae Insured
- Primary, Second, or Investment Property
- Single, Multi-family or Condo
- $766,550 Max Loan
- High Balance – 95% Loan to Value
- 97% Loan to Value
- Mortgage Insurance Options
- Lower Rates & Better Terms
- Manufactured Housing OK (Subject to Restrictions)
Conventional mortgages are ideal for borrowers that have higher credit scores and have different criteria as the loans are guaranteed by Fannie Mae or Freddie Mac. As such, conventional loans usually require less documentation than VA loans, FHA loans, or USDA loans which makes for easier qualifying.What are the Conventional Down Payment Requirements?
For Purchase transactions Conventional Loans require the home-buyer to put down at least 5% – 20% of the purchase price of the home. For a Refinance transaction, most lenders require at least 10% equity in the property.
What types of property are eligible?
Most conventional loan programs allow you to purchase single-family homes, warrantable condos, planned unit developments, and 1-4 family residences. A conventional loan can also be used to finance a primary residence, second home and investment property.