Why buyers choose conventional
- Flexible down payments. As little as 3% down for some first-time buyers, and 5% or more for others.
- Mortgage insurance you can remove. Put 20% down and skip it entirely, or have it removed once you reach enough equity.
- Use it for more than a primary home. Conventional loans can be used for second homes and investment properties.
- Fixed or adjustable rates, with terms like 15, 20, or 30 years.
High-balance loans for higher-cost areas
In higher-cost counties, like much of coastal California, conventional loan limits are higher. These "high-balance" loans let you borrow more while keeping conventional terms, before you need a jumbo loan.
Conventional or FHA?
If your credit is strong, conventional often costs less over time because its mortgage insurance can be removed. If your credit is still building, FHA may be easier to qualify for. We'll compare both for the same home so you can choose.
Buying a condo?
Condo buildings need to meet certain guidelines for conventional financing. Send us the complex name early so we can check before you're under contract.
What to have ready
- Recent pay stubs and W-2s (or tax returns if you're self-employed)
- Bank and asset statements
- Your purchase contract or current mortgage statement
Where this is available
Conventional loans are available in California, Arizona, Colorado, Florida, and Texas.
Program availability can vary by state and property. Contact us to confirm options for your home.