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Conventional Home Loans

Known as the standard in loan programs, conventional loans are designed to help home buyers find their ideal mortgage plan with simplicity.

Advantages of a conventional loan

Depending on your specific situation, conventional loans can offer lower interest rates, a variety of down payment options, varying term lengths for fixed-rate mortgages, and reduced mortgage insurance (MI). If you pay MI on a conventional loan because you put down less than 20%, you typically have the option to cancel the MI when the principal balance on the loan hits approximately 20% equity in the property.

Conventional loan requirements

Requirements for a conventional loan depend on your credit and financial history. Some of the main items your lender will consider are your credit score, debt-to-income ratio, income stream, and cash reserves. Ultimately, your lender needs to determine that you have the funds and financial foundation to pay the loan back. Since conventional loans aren’t backed by the government, the lender assumes more risk in the event of a default.

Start your journey home

Finding the path to home ownership is simple with a loan expert from Better Built Mortgage Group. Our loan officers are ready to help you finance your home ownership dreams.