Key Characteristics

Types of Conventional Loans

Conforming Loans: These meet the guidelines set by government-sponsored enterprises like Fannie Mae and Freddie Mac. They have maximum loan limits, which vary by location.

Non-Conforming Loans: These do not meet the standards set by Fannie Mae and Freddie Mac. They can include jumbo loans, which exceed the conforming loan limits.

Qualification Requirements

Credit Score: Generally, a higher credit score is required compared to government-backed loans. A score of 620 or higher is often needed.

Down Payment: A down payment of at least 3% is typically required, but putting down 20% can eliminate the need for private mortgage insurance (PMI).

Interest Rates

Conventional loans can have either fixed or variable interest rates. Interest rates may be higher than those for government-backed loans, depending on the borrower's creditworthiness.

Flexible, expert advice when you need it. Book hourly support across a range of topics—from planning to problem-solving. This focused consultation will help clarify your goals, map out next steps, and identify opportunities for growth.

Flexible, expert advice when you need it. Book hourly support across a range of topics—from planning to problem-solving. This focused consultation will help clarify your goals, map out next steps, and identify opportunities for growth.