Conventional Loans

What Kind Of Homebuyers Are Best Suited For A Conventional Loan?

Here are some of the critical characteristics of a Conventional loan mortgagee.

• Higher credit score.
• Currently has a lower debt to income ratio.
• Can make a down payment of at least 3% or more.
• Can prove stable income.

What Are The Advantages Of Conventional Loans?

Here are some of the critical characteristics of a Conventional loan mortgagee.

• Can put down as little as 3% of the purchase price.
• Private mortgage insurance (PMI) can be avoided by putting down 20%.
• Conventional loan interest rates are typically better than comparable government-backed loans.
• Flexibility – Can be used to purchase a primary or secondary residence.
• Both fixed rate & adjustable rate terms are available for the life of the loan.
• Can be used to refinance an existing loan or a new home purchase.

What Is A Conventional Conforming Loan?

A Conventional Conforming loan is typically a loan that is at or under the maximum county loan limit of the property. They are called conforming as they adhere to the guidelines set forth by Fannie Mae and Freddie Mac.

Is A Conventional Loan Right For Me?

For clients who meet the requirements of a Conventional loan, this type of home financing arrangement might be well suited to them. Because everyone's financial circumstances are different, finding the right kind of mortgage for you is critical. Better Lending is happy to walk you through this crucial step of buying a home.

Contact us today to learn more about why so many homeowners have trusted us to be their lender of choice.