There are dozens of home loan programs out there, and each has its own requirements, benefits, and terms. Just as no two borrowers are exactly alike, no two loan programs are set up precisely the same way.
One of the most common loan types is a conventional mortgage loan.A conventional mortgage is a type of loan that is not guaranteed or insured by a government entity such as the Federal Housing Administration (FHA) or the Department of Veterans Affairs (VA). Conventional loans are made available through private lenders such as banks or mortgage companies, or by one of the two government-sponsored enterprises (GSEs) known informally as Fannie Mae and Freddie Mac.
Conventional loan types include the following:
All loans have requirements, and Conventional Mortgages are no exception. A few of those requirements are as follows:
So how do you know which type of loan is right for you? That’s where it helps to have a knowledgeable Loan Officer by your side. A good Loan Officer will listen to your needs, evaluate your situation, educate you on different loan products and help you select the right loan for you.