About Conventional Loans
A conventional loan is any mortgage which is not guaranteed or insured by the federal government and were the first traditional mortgage loans made by lenders. Today, these loans typically require a 3% down payment depending on the situation.
If you’re in a financial position with good credit and a strong down payment, a conventional loan offers low interest rates and various term options.
Conventional Mortgage Loans can also be used to purchase rental properties with a 20% down payment. FHA, USDA/Rural Housing and VA Mortgage loans are only designed and intended for the purchase of a primary residence.