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Secure your next home purchase. Receive a quote on a Conventional Loan today.
What is a Conventional Loan?
A conventional mortgage loan is a loan that meets the requirements for Fannie Mae or Freddie Mac to insure/back. FNMA and FHMC are the two government-sponsored mortgage entities that purchase mortgage loans which in turn allow banks to traditionally offer lower mortgage rates than jumbo loans or non-conventional loans.
Every year these two entities release loan limit guidelines that require mortgage loans to be under a specific loan amount for them to purchase or back. This year, the conventional loan amount limit has been set at $647,200 in most areas across the United States. However, many high-cost areas like Orange County, San Francisco, Santa Barbara and San Diego have higher conventional loan limits up to $970,800 to offset the higher cost of living.
Conventional loans usually offer the best terms for financing your primary home, second home or investment property. To find out what types of financing you would qualify for click the link below or call us at 844-4MODERN today!
