What is a Conventional loan?
A Conventional home loan can offer great rates and flexible qualifying
guidelines. A Conventional loan is also known as a Conforming loan
because it conforms to the standards set by Fannie Mae and Freddie
Mac—which are two agencies that help standardize the mortgage industry.
The maximum conforming loan limit for one-unit properties is $510,400
(or $765,600 in high-cost areas). If you need mortgage financing for
more than that amount, you should look at Jumbo loan
Can I qualify for a Conventional home loan?
Conventional financing appeals to a wide demographic, although it is
best suited for those with a good credit score. While you can still
qualify with a lower score, there may be higher costs associated with
If you have good credit and money for a down payment, you can take
advantage of some great options with a Conventional loan. Be sure to
check with your Loan Officer about your specific situation.
How much is the down payment for a Conventional mortgage?
A Conventional loan can require as little as 3% down, making it a great
option for those who do not want an FHA loan. While Conventional loans
do require mortgage insurance if you are putting less than 20% down, you
can cancel the mortgage insurance after your home equity reaches 20%.
Even better, Conventional financing does not require Upfront mortgage insurance like an FHA.
If you're ready to start your home buying journey, speaking to a loan
officer is a great place to start.
Get pre-qualified now and we'll review your current financial situation
and credit score to help you find the best option for you.