Conventional Loans

Conventional Fixed Rate Mortgages – You can typically put down as little as 5% with our 30, 20, 15, and 10 year fixed rate mortgage solutions. Interest rates for these loans may be lower than what’s available with lower money down solutions such as FHA loans and USDA mortgages (although that’s not always the case). Borrowers who put down less than 20% on a conventional loan will likely have to pay private mortgage insurance along with their monthly mortgage obligations in the early years of their loan until they build up additional equity.

A conventional mortgage is typically considered a loan that conforms to the guidelines set forth by Freddie Mac and or Fannie Mae, the two government sponsored enterprises (GSEs) that provide liquidity in the mortgage market.

Whenever someone refers to a “conventional loan” they are typically referring to conforming aka conventional mortgages that are eligible for purchase by Fannie Mae and Freddie Mac.


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