Skip to content

Is a Conventional Loan Right For You?

August 1, 2012

A conventional loan is one that is not insured by a government entity. That means these loans are made entirely in the private sector, without any government approval. Conventional loans are either conforming or nonconforming types. Since Fannie Mae and Freddie Mac are stockholder-owned corporations and are not part of the federal government, a conventional loan falls either within the rules and guidelines (conforming)  that have been set up by Fannie Mae and Freddie Mac or it falls outside(non-conforming). If you are going for a conventional loan, chances are you will be required to pay a larger down payment than required by a government insured or guaranteed loan. If your down payment is less than 20 percent you will be required to purchase private mortgage insurance. Conventional loans can be fixed rate mortgages, adjustable rate mortgages, balloon mortgages, or hybrid loans. Almost any type of loan that you take, if not issued by a government entity, is considered a conventional loan.

Read more about Conventional Loans to see if its right for you at the links below:

What Is a Conventional Loan?
By Melvin Richardson, eHow Contributor

Conventional Loans Explained
Superpages.com

At Platinum Mortgage Company we have a large selection of loan programs and specialize in conventional loans. Right now we are offering a conventional loan with debt to income (DTI) up to 58%! If you are searching for a conventional loan we are your team!  Contact Us Today!

Check Us Out:
http://www.pmcmortgageloans.com/
Apply For A Loan:
http://pmcmortgageloans.com/mortgage_application.php
And Follow us on:
http://www.facebook.com/pmcmortgageloans
http://twitter.com/pmcmtg
http://www.linkedin.com/

Advertisements
No comments yet

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: