Conventional

In today’s marketplace, most conventional loans meet the standards set by Fannie Mae (FNMA) or Freddie Mac (FHLMC). These mortgages are also referred to as “Conforming Loans”. Fannie Mae and Freddie Mac establish the lending guidelines and set the loan amount limits for conforming loans.

Loans that are greater than the loan limits set by Fannie Mae and Freddie Mac are known as “Jumbo Loans”. Jumbo loans are offered by financial institutions and private investors. The lending guidelines for these loans may vary by loan product.

Conventional mortgages that don’t meet the standards set by Fannie Mae and Freddie Mac are considered “Non-Conforming” loans. The availability of this financing varies with the financial and housing markets. The lending guidelines for these loans also vary by loan product.

Conventional Loan Programs we offer:

• Fixed-Rate Mortgages: 30-year, 25-year, 20-year, 15-year, 10 year
• Adjustable-Rate Mortgages:10/1 ARM, 7/1 ARM, 5/1 ARM, 3/1 ARM

Benefits/Features of Conventional loans:

• Loans with 20% down payments don’t require mortgage insurance
• Loan amounts as high as $4,000,000
• Borrowers may have ownership of multiple financed properties at one time
• Loans are available for financing of second homes and investment properties

Conventional loans are a great choice for borrowers with large down payments and good credit.