Types of Home Loans
We are here to help you learn about the different types of mortgages available to you. Get in contact with us today in order to learn more about which loan types are best suited to your personal situation!
Home Loans We Offer
Conforming VS Non-Conforming Mortgages
Conforming loans are those which fit within the guidelines set by Fannie Mae or Freddie Mac, which are government sponsored mortgage buyers in the United states. They have standards for loans they will buy. This includes having a credit score above a certain amount, a certain down payment amount, and a maximum debt-to-income ratio. Conforming loans also can’t exceed a certain amount, which varies from area to area depending on the cost of living. any loans that do not fit these qualifications are non-conforming, such as jumbo loans. Conforming loans are less risky to the lender, so they are less expensive than non-conforming loans in general.