A conventional mortgage is made available through private lenders such as banks, credit unions, and mortgage companies. They are not guaranteed or insured by any government agency such as the Federal Housing Administration (FHA) or the department of Veterans Affairs (VA).
Conventional mortgages typically require a down payment of 3%-20% and can have a fixed or adjustable interest rate.
There are several advantages to a conventional mortgage as compared to other types of loans:
- More flexibility
- Equity builds immediately
- Quicker loan process
- Closing costs and fees are lower and may be included in the loan
- Private mortgage insurance not required with minimum of 20% down.
- More favorable repayment terms
Call one of our loan professionals now to see if a conventional mortgage is right for you. 800-988-7793