Conventional Mortgage Loans
Conventional home loans are just that…conventional. However, contrary to popular belief, conventional home loans aren’t as restrictive or unaccommodating as their name implies. Though conforming mortgages adhere to the guidelines set by Fannie Mae and Freddie Mac, their limits and qualifications do vary according to the county and state in which you reside and are actually quite attainable.
December 2014 saw a dropping of the minimum down payment required to obtain a conventional loan. Where 20% of the value is still recommended, Fannie Mae and Freddie Mac lowered their allowances to as little as three percent down. Therefore, more Americans with limited funds could now potentially qualify for these home purchasing options.
At the Frederick branch of Goldwater Bank, our local mortgage lenders happily work with those with smaller down payments and those who have a FICO score of at least 620. We can also identify and help you with various down payment assistance programs. Conventional loans are typically better for those with higher credit scores, but recently there have been programs released for those with average or even lower credit scores. Conventional mortgage loans can be used for primary residences, second homes, and investment properties.
Find out more about conventional home loans and how your local mortgage lender can help with your property investments funding options by scheduling your next consultation with our Goldwater Bank team today. We look forward to finding the perfect lending solution for you!