Conventional Loans
Conventional Loans – A Strong, Versatile Mortgage Option
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Conventional loans are one of the most widely used mortgage options and offer a great balance of competitive rates, flexible terms, and broad eligibility. Unlike government-backed loans, conventional financing is offered through private lenders and follows standardized guidelines. These loans work well for primary residences, second homes, and investment properties, making them a solid choice for both homeowners and real estate investors who have stable credit and income. Conventional loans are especially popular with investors purchasing long-term rentals or buyers looking to avoid upfront mortgage insurance fees associated with other loan programs.
Great fit for:
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Primary residence buyers
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Second-home buyers
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Real estate investors
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Borrowers with solid credit profiles
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See if your property is eligible for Conventional financing:
What is a conventional loan? A conventional loan is a mortgage that is not backed by a government agency such as FHA or VA. These loans follow standard lending guidelines and are offered by private lenders for primary homes, second homes, and investment properties.
Do conventional loans require mortgage insurance? Mortgage insurance may be required if the down payment is less than 20%. Unlike some other loan types, private mortgage insurance (PMI) can often be removed once sufficient equity is reached.
What down payment is required for a conventional loan? Down payment requirements vary, but conventional loans may allow as little as 3–5% down for primary residences. Investment properties typically require higher down payments, depending on the property type and borrower profile.
Are conventional loans available for investment properties? Yes. Conventional loans can be used for investment properties, including single-family rentals and multi-unit properties up to four units, subject to lender guidelines.
Are conventional loans only for first-time homebuyers? No. Conventional loans are available to both first-time and repeat buyers, including investors and homeowners refinancing existing properties.