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.

Can I qualify for a conventional 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 your mortgage.

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 loan?

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.

Eagle Home Mortgage First-Time Homebuyer Guide


A First-Timers Guide to Mortgages


Are you a first-time homebuyer considering a Conventional Loan? Then our First-Time Homebuyer Guide can help you through the entire mortgage process, from pre-approval to closing and beyond.

Download the Guide Now

Benefits


  • Down payment as low as 3%
  • Available in Fixed Rate or Adjustable Rate (ARMs) options
  • Many loan term options available
  • No monthly mortgage insurance required with a down payment of at least 20%
  • Lower mortgage insurance costs than an FHA mortgage
  • Mortgage insurance can be cancelled when home equity reaches 20%
  • Can use for primary residence, second homes or investment propterties

Ready to begin your loan application?Get Pre-Qualified

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