Get a no-cost quote on conventional mortgage financing with competitive rates and flexible terms.
Conventional loans are the most common type of mortgage in America, accounting for the majority of all home loans. Unlike government-backed loans (FHA, VA, USDA), conventional mortgages are not insured by a federal agency. Instead, they follow guidelines set by Fannie Mae and Freddie Mac, which allows lenders to offer competitive rates and flexible terms.
Conventional loans come in two varieties: conforming loans that meet Fannie Mae and Freddie Mac guidelines and loan limits, and non-conforming loans (like jumbo loans) that exceed these limits. For 2025, the conforming loan limit is $806,500 in most areas and up to $1,209,750 in high-cost markets.
Whether you're purchasing your first home, upgrading to a larger property, or refinancing for a better rate, conventional loans offer the flexibility and competitive pricing that make them the preferred choice for qualified borrowers.
Get Your No-Cost Quote
Here's how the conventional loan process works:
I Want My No-Cost Conventional Loan Quote
Conventional loan qualification typically requires a credit score of 620 or higher, with 740+ scores receiving the best rates. Down payment requirements range from 3% for first-time homebuyers to 5-20% for other borrowers - putting down 20% eliminates the need for private mortgage insurance (PMI). Your debt-to-income ratio should typically be 43-45% or below, and you'll need to document stable income and employment, usually two years of history.
Conventional loans require property appraisal meeting Fannie Mae or Freddie Mac standards. Assets and reserves may be required depending on loan amount and property type. Self-employed borrowers typically need two years of tax returns showing consistent income.
Check your conventional loan eligibility in one minute
Conventional loans typically require higher credit scores (620+ vs 580+) and larger down payments but offer lower overall costs for qualified borrowers. FHA loans have mortgage insurance for the life of the loan, while conventional PMI can be removed at 20% equity. Conventional loans also have higher loan limits and more flexibility for second homes and investment properties.
Down payment requirements vary: 3% for first-time homebuyers with certain programs, 5% for most primary residence purchases, 10-15% for second homes, and 15-25% for investment properties. Putting down 20% or more eliminates the need for private mortgage insurance.
Private Mortgage Insurance (PMI) is required when your down payment is less than 20%. It protects the lender if you default. Unlike FHA mortgage insurance, conventional PMI can be removed once you reach 20% equity through payments or appreciation. Request removal at 20% equity or it's automatically removed at 22%.
Conforming loans meet Fannie Mae and Freddie Mac guidelines including maximum loan amounts. For 2025, the limit is $806,500 for single-family homes in most areas, and $1,209,750 in high-cost markets. Loans exceeding these limits are jumbo loans with different requirements.
Yes. Conventional loans are available for investment properties with 15-25% down payment and slightly higher interest rates. You can finance up to 10 properties through Fannie Mae and Freddie Mac guidelines, making conventional loans a solid choice for building a rental portfolio.
It depends on your situation. Conventional loans are often better for borrowers with good credit (700+), larger down payments, or those buying second homes or investment properties. Government loans (FHA, VA, USDA) may be better for borrowers with lower credit scores, smaller down payments, or those who meet specific eligibility requirements like military service.
Conventional loans subject to credit approval. Rates, program terms, and conditions are subject to change without notice. Not all products are available in all states or for all dollar amounts. Private mortgage insurance required for down payments less than 20%. Loan limits subject to annual adjustment. Property appraisal required. This is not a commitment to lend.
