CON Loan Guide

A conventional loan is a home loan that’s not backed by the government. Instead, it’s offered by private lenders like banks or credit unions and usually follows guidelines set by Fannie Mae or Freddie Mac.

🔑 Key Features

✅ Credit score: Typically needs to be 620 or higher
✅ Down payment: As low as 3%, but 5–20% more common
✅ No mortgage insurance if you put 20% down
✅ Can be used for primary homes, second homes, or investment properties
✅ More flexible property types compared to FHA

🤔 Why Choose a Conventional Loan?

It’s a good choice if you:

✅ Have good credit
✅ Can afford a larger down payment
✅ Want to avoid mortgage insurance over time