A Conventional loan program is most often utilized by a traditional home buyer. It can also be known or referred to as a Conforming loan. Conforming means that it meets and is backed by Fannie Mae or Freddie Mac. Conventional is a program that can be used for a purchase or refinance.
Some key points of this loan program are:
- 20% Down payment traditionally, but will also allow for as little at 3%, 5% or 10% as well
- Less that 20 percent down will require mortgage insurance
- Special conventional program up to 97% Loan to Value with NO Mortgage Insurance for borrowers with higher credit scores
- Historically low interest rates
- Maximum Loan Amount in Florida $424,100
- Available for Purchase/Refinance/Cash-out