Denver Conventional Home Loans

Denver Conventional Home Loans Conventional Home Loans in Denver are mortgages that fall below the “conforming” loan limits, currently at $417,000 in most counties.  At Clear Path Home Loans, we have Conventional Home Loans designed to help with purchasing a home or refinancing your current mortgage, all at great Low Rates.

Many counties in Colorado allow for Conventional Home Loans above this limit.  In these counties, if you borrow more than $417,000, but less than the county limit, the loan is classified as a “high balance” conforming loan, and will carry a slightly higher rate.

In order to qualify for the best rates on Conventional Home Loans in Denver, you must have excellent credit and at least 20% down payment or equity.  If your credit is mediocre, you may still qualify, but your rate will likely be higher.

Loan-to-value ratio is also a factor.  With less than 20% down payment, you will be subject to mortgage insurance on your new Conventional Home Loan in Denver, CO.  Mortgage insurance is a policy required by the lender that would insure them in case you go into default.  Mortgage insurance will add to your payment and the amount is dependent upon your percentage of equity in the home.

Suppose you are refinancing and have less than 20% equity or even negative equity. In that case, you may qualify for the program which is a government stimulus Colorado Conventional Home Loan program.  Your mortgage must be owned currently by fannie mae or freddie mac in order to qualify for this program.

However, purchasing a requires a minimum 5% down payment, and with a lower credit score, a larger down payment may be required.

Our professional staff is standing by to provide an honest and accurate, no obligation consultation for your Conventional Home Loan scenario.

To get started with your Conventional Home Loan in Denver, CO, click the appropriate button below.