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Conventional Loans

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Conventional loans are the most versatile loan type.

They can be used for:
  • Purchases
  • Refinances
  • Cash Out Refinances
All occupancy types are eligible, including:
  • Primary Residences
  • Vacation or Second Homes
  • Rental Properties
Quick Facts and Tips:
  • You can use conventional loans to purchase up to 9 rental properties, in addition to your primary home.  Many people take advantage of the long term fixed low rates offered for conventional loans to build a substantial rental portfolio.
  • You can qualify for a rental property using estimated future market rents, so you don’t have to be a high income earner to get started in investing.  You only need to be smart in selecting positive cash flowing property, along with demonstrating reasonable personal debt related to your income.  The best thing you can do to qualify for rental property loans is to keep your personal housing costs and other monthly debt to a minimum.
  • If you buy a home for cash, you can immediately refinance to get your cash investment back.  Your cash offer gives you an advantage in a competitive market, but you don’t have to be house poor!  Hint:  Get pre-approved before planning to use this strategy to make sure you’ll qualify after closing.
  • You can pull equity out after just 6 months of ownership.  Whether you’ve made substantial improvements or home prices are increasing quickly, you may qualify for a cash out refinance with enough equity. 
  • Conventional loans may qualify for an appraisal waiver, saving you a few hundred dollars and streamlining your purchase or refinance.  If our automated underwriting system has enough recent data on your home, and you meet the equity or down payment requirements, we may be able to skip the appraisal and use the market value accepted by the system.
  • With excellent credit, private mortgage insurance isn’t so expensive, and it gets lower for each 5% of the purchase price you’re able to put down as a down payment.  With 20% down, no mortgage insurance is required.