Conventional Home Loans
If you have good credit and a decent down payment, you can qualify for Conventional Home Loans which offer the best rates available in the marketplace. This type of loan is called conventional because they are serviced by Fannie Mae or Freddie Mac and are underwritten with traditional guidelines.Remember, we offer pre-approvals in less than 24 hours!
Conventional Home Loans:
- Financing available up to 95% of home value or sales price, depending on the area
- For less than 20% equity, mortgage insurance is required
- Refinance or home purchase
- Primary residence, Vacation Home Loans, or Investment properties
- Single-family residences, Townhomes, condos, and even multi-unit properties
- Competitive rates on 30 year or 15 year fixed programs, or ARMs
To qualify for Conventional Home Loans, you will need the following:
Credit: Your credit score must be above 680 for Conventional Home Loans to make sense. Less than 680, and other options such as FHA Home Loans will provide you with a much better deal.
Income: Income must be fully documented and your total monthly debts cannot be greater than 45% of your income. If greater than 45%, an approval is possible, but is difficult, and you must be very strong in other areas such as credit, assets, down payment, and job stability. Income and job stability are very important for Conventional Home Loans.
Assets: A reserve of at least 2 months mortgage payments is required for most Conventional Home Loans, 3 months for vacation homes, and 6 months for investment properties. All funds must be verified and must be “seasoned” which means in your account for at least 60 days prior to closing.
Loan Amount: Loan amounts for Conventional Home Loans cannot exceed $417,000 in most counties in the US. This is the limit set forth by the government for 2010. Some counties are considered “high balance” in which case you may exceed $417,000, but you will pay a slightly higher rate for a loan amount above $417,000. Call us to find out your county limit.
We can provide you with a pre-approval for Conventional Home Loans in less than 24 hours and can provide a no obligation rate quote and free consultation if you would like to check us out first. Give us a call to discuss your situation!
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