Conventional Mortgage: A World of Possibility
Conventional mortgages provide flexible terms and rates that work for many types of would-be homebuyers. The Blue Square Mortgage professional agents can help you explore a number of home financing option in depth so that you can make an informed decision. As a private mortgage company that works with several qualified lenders, we can provide the competitive loan you seek. Conventional mortgages come in all shapes and sizes, with varied down payments, interest rates and terms. Mike Peacore with Blue Square Mortgage is a leading provide of mortgages in Washington. He provides mortgages in Bellevue, West Seattle, North Seattle, and the whole state of Washington. Contact Mike today here for all of your mortgage needs!
Conventional vs. Non-Conventional Mortgage
When it comes to the broad range of mortgage choices, two broad categories exist. Conventional mortgages are home loans that are fully funded and insured through private lenders. That is, they are not insured through the federal government. Non-conventional loans are, as you may guess, insured or guaranteed in some way through the federal government. Examples of non-conventional loans include FHA loans (insured through the Federal Housing Administration) and USDA loans (insured through the U.S. Department of Agriculture).
Because they are not insured through the government, conventional mortgages have stricter approval guidelines than non-conventional mortgages. Clients who are eligible for conventional mortgage typically have a credit score of 620 or higher, and are able to provide a down payment of 10-30%. They are available with fixed and variable APR and have flexible terms that are preferable than non-conventional loans for many clients.
Types of Conventional Mortgage
There are two main divisions of conventional mortgages: conforming and non-conforming. In short, these categories are divided dependent upon whether a loan amount lies below or above lending limits set through mortgage companies Fannie Mae and Freddie Mac. These companies, which buy conventional mortgages in bulk for public trade, set lending limits for one-, two-, three- and four-unit properties. If your loan amount is less than this limit, you are eligible for a conforming conventional loan. Loans greater than the conforming limit are known as non-conforming conventional loans, or “jumbo loans.”
Is Conventional Mortgage Right for You?
At Blue Square Mortgage LLC, we focus on creating relationships with our clients that can last a lifetime. One of our certified mortgage professionals will carefully evaluate your finances, credit history and goals for homeownership during a one-on-one consultation. If you would like to explore a conventional mortgage, we can provide different loan package options and determine quickly if you are eligible. Mike Peacore with Blue Square Mortgage is a leading provide of mortgages in Washington. He provides mortgages in Bellevue, West Seattle, North Seattle, and the whole state of Washington. Contact Mike today here for all of your mortgage needs!