Loan Programs by
Team Schweickert

What are Conventional Loans?

Conventional Loans are mortgage loans that are not insured by the government (like FHA, VA, USDA Loans), but they typically meet the lending guidelines that have been set by Fannie Mae or Freddie Mac. Typically, conventional loans have better rates, terms and/or lower fees than other types of loans. However, conventional loans typically require a borrower to have good-to-excellent credit, reasonable amounts of monthly debt obligations, a down payment of typically 5-20% and reliable monthly income. Conventional loans are ideal for borrowers with excellent credit. Depending on the area median income (AMI) where a borrower would like to purcahse, as a first time homeowner there may be guidence where they may put down as little as 3.0%! Contact us to see how you qualify.

Most Common Types of Conventional Loans

Fixed Rate Mortgages: Fully Amortizing where the Interest Rate Over the Term of the loan create a Principal & Interest Payment that does not chage.

  • 30 Year Fixed Loan

    Benefits: Lowest fixed monthly payments

  • 20 Year Fixed Loan

    Benefits: Low fixed monthly payments

  • 15 Year Fixed Loan

    Benefits: Lower rate than the 30 or 20 Year Fixed Loans; Pay less interest and pay your home off more quickly.

  • 10 Year Fixed Loan

    Benefits: Lower rate; Pay off your loan and build equity faster.

  • 5 Year Fixed Loan

    Benefits: Lowest rate; Pay off your loan and build equity the fastest

Adjustable Rate Mortgages (ARM): After the initial period your interest rate can change. In these examples, the rate will change once a year after the initial period.

  • 3/1 ARM

    Fixed Rate for 3 Years, Adjustable Rate for the remaining 27 years

  • 5/1 ARM

    Fixed Rate for 5 Years, Adjustable Rate for the remaining 25 years

  • 7/1 ARM

    Fixed Rate for 7 Years, Adjustable Rate for the remaining 23 years

What are the Conventional Down Payment Requirements?

For Purchase transactions Conventional Loans typically require the home-buyer to put down at least 5% of the purchase price of the home. Depending on the area median income (AMI) where a borrower would like to purcahse, as a first time homeowner there may be guidence where they may put down as little as 3.0%! Contact us to see how you qualify.

What types of property are eligible?

Most conventional loan programs allow you to purchase single-family homes, warrantable condos, planned unit developments, and 1-4 family residences. A conventional loan can also be used to finance a primary residence, second home and investment property.

Find Out if a Conventional Loan is Right for You

Pick a time to go over a mortgage plan with our Team & we'll find what's best for you!

For information purposes only | This is not a commitment to lend or extend credit | Information and/or dates are subject to change without notice | All loans are subject to credit approval by E Mortgage Capital NMLS UNIQUE IDENTIFIER # 1416824 | | Equal Housing Lender | David M Schweickert III NMLS UNIQUE IDENTIFIER 834967 | California Real Estate Services provided by David M Schweickert III California Real Estate Broker License 01382395

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