Conventional Loans

Conventional Home Loans

Competitive rates, flexible terms, and down payments as low as 3%. The gold standard for well-qualified homebuyers.

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What is a Conventional Loan?

A conventional loan is a mortgage that is not insured or guaranteed by the federal government. Unlike FHA, VA, or USDA loans, conventional loans conform to guidelines set by Fannie Mae and Freddie Mac — the two government-sponsored enterprises that purchase most mortgages.

Conventional loans are the most common mortgage type in the United States, offering competitive interest rates and flexible terms ranging from 10 to 30 years. They work for primary residences, vacation homes, and investment properties.

Because these loans are not government-backed, lenders apply stricter qualification standards — but borrowers who qualify are rewarded with excellent rates and no government-imposed restrictions on property type or loan use.

Who Is It For?

Conventional loans are ideal for buyers with solid credit, stable income, and some savings for a down payment. They're the go-to choice for move-up buyers, repeat homeowners, and anyone looking to maximize buying power.

Well-qualified buyers
Credit 620+ with steady income
Move-up buyers
Upgrading to a larger home
Investment buyers
Rental properties & second homes
High-equity owners
20%+ down to avoid PMI

Key Benefits

3% Down Payment

Start building equity with as little as 3% down on a primary residence

Best Rates Available

Borrowers with 740+ credit score get the most competitive market rates

PMI Removable

Once you hit 20% equity, cancel PMI — unlike FHA which keeps MIP

Any Property Type

Works for primary homes, second homes, and investment properties

Conventional Loan Details

Down Payment Minimum
3% (primary residence) · 5% (investment)
Credit Score Minimum
620+ · Best rates at 740+
2024 Conforming Loan Limit
$766,550 (standard) · Up to $1,149,825 (high-cost)
Loan Terms
10, 15, 20, 25, or 30 years
Loan Types
Fixed Rate · Adjustable Rate (ARM)
Property Types
Primary, Second Home, Investment
PMI Required?
Yes, if down payment < 20% (removable at 20% equity)
Debt-to-Income (DTI)
Up to 45–50% (varies by lender)

*Rates are for informational purposes only. Contact us for your personalized rate quote.

Do You Qualify?

Conventional loans have straightforward requirements. Here's what you need.

Basic Requirements

  • Credit score of 620 or higher
  • Stable employment history (2+ years)
  • Debt-to-income ratio under 45–50%
  • Down payment of 3%–20%+
  • Documented income (W-2, tax returns)
  • Property must meet appraisal standards

What Helps Your Application

  • Credit score 740+ for best rates
  • 20% down payment (eliminate PMI)
  • Low debt-to-income ratio (below 36%)
  • Savings reserves (2–6 months PITI)
  • Long employment tenure with same employer
  • Clean credit history (no late payments)

Frequently Asked Questions

Ready to Apply for a Conventional Loan?

Get pre-qualified in minutes. A licensed Tiger Loans mortgage officer will review your application and guide you every step of the way.

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