Conventional loans are mortgage loans offered by non-Government sponsored lenders. A conventional, or conforming, mortgage adheres to the guidelines set by the guidelines set by Fannie Mae and Freddie Mac and can be a fixed or adjustable rate.
By choosing American Nation Bank as your lender, you have a real person to answer your questions and guide you through the loan process. ANB has been here for nearly 40 years, is a financially solid banking institution, and takes pride in taking care of our customers. We review your income, debts, credit, money available for down payment and closing costs, size of the loan, and time needed for repayment to give our recommendation on what type loan best fits your needs.
Regardless of the type of loan you choose, you will need money for down payment and closing costs. If you have little money, sometimes a family gift is allowed. Or, you may be able to borrow the down payment and closing costs, subject to lender restrictions. And, if refinancing a home and there is enough equity, closing costs may even be allowed to be rolled in.
What is a Conventional Loan?
While many think that a 20% down payment is required for all conventional loans, this may vary per loan program. On a purchase of a primary residence, the minimum down payment is usually 5% but sometimes 3%, if you meet certain requirements.
Conventional loans have competitive rates and flexibility and are generally suitable for borrowers with better income and credit scores.
Conventional Loan Limits
The maximum loan amount on a Conventional loan depends on what county the property is in. If the amount of the loan is above that amount, you get into the JUMBO loan category. Jumbos have different pricing and require a minimum 20% down currently.
Get Pre-Approved for a Conventional Loan
If you want to purchase a home anywhere in the United States (other than Hawaii and Alaska) and would like more information before you prequalify or apply, call Betsy Wright at 580-226-6222, Ext. 3550. If ready to prequalify or apply, simply click the following link: https://bankersmortgage.mortgagewebcenter.com/responsive/#/ApplyNow/StartApplication
