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30 Year Fixed Conventional Loans
Financing a home doesn't have to be complicated. Whether you are looking to buy a home or refinance, conventional loans are simple, straightforward, and easy. This type of loan is the go-to-choice for most people with a good credit and financial profile.
You can be Pre Approved by the end of the day!
Down payments as low as 3%
620 minimum credit score
No upfront mortgage insurance
Low fixed rate payment gives you security!
Popular 30 Year Fixed Conventional Loan Topics
Mortgage Rates for 30 Year Fixed Conventional Loans
Your mortgage rate is an important factor in your overall home payment and family budget. Our company is built to offer lower mortgage rates which will help make your home more affordable.
On average, our mortgage rates are .326% lower than the national average. This equates to $23,836 in life of loan interest savings. See details on rate savings calculation here.
Program Highlights
Fixed Rates
No upfront mortgage insurance
Primary Residence, Second Homes and Investment Properties
620 minimum credit score
Down payments as low as 3%
Frequently Asked Questions
30 year fixed Conventional loans are best for borrowers that have strong credit and are able to make a minimum down payment of at least 3-5% of the sales price.
30 year fixed Conventional loans are the most popular loan choice as they provide a fixed rate and low monthly payment.
Who are 30 year fixed Conventional loans best for?
First-time homebuyers can make a down payment of 3% of the sales price. If you have owned a home in the most recent 3 years, you will need to make at least a 5% down payment.
Investment properties and second homes will require a down payment of at least 15%.
How much down payment do I need for a 30 year fixed Conventional loan?
Yes, first-time homebuyers often use a 30 year fixed Conventional loan to purchase a home.
First-time buyers with qualifying income at or below area median income levels may receive a discounted interest rate.
Can a first time home buyer use a 30 year fixed Conventional loan?
Your monthly payment will include PMI if your make less than a 20% down payment. Borrowers making a 20% or more down payment are not required to carry PMI.
Do 30 year fixed Conventional loans require private mortgage insurance (PMI)?
30 Year Fixed Conventional Loans
Overview
Conventional mortgages are essentially loans that are not backed or insured by any federal agency like FHA, VA, or USDA loans. Conventional loans that adhere to the guidelines set forth by Fannie Mae and Freddie Mac are also referred to as Conventional Conforming loans. Conventional loans that do not adhere to the Fannie Mae and Freddie Mac standards are referred to as Non Conforming loans. For the purposes of these guidelines, the use of the word Conventional will mean Conventional Conforming.
30 year fixed rate Conventional mortgage loans are easily the most popular of all the mortgage types in the United States. According to data from the U.S. Census Bureau, conventional mortgages were used to purchase about 76% of the homes in 2022. Most homebuyers with good to excellent credit scores and down payments of 3% or more will use a 30 year fixed rate Conventional loans to finance their home purchases.
What can I use a 30 year fixed Conventional loan for?
30 year fixed Conventional loans can be used to purchase or refinance a primary residence, investment property, or a second home.
What is the minimum credit score for a 30 year fixed Conventional loan?
You will need a credit score of 620 or higher for any conventional loan. However, if your score is below 700, an FHA loan may provide you with more favorable terms.
How much can I borrow with a 30 year fixed Conventional loan?
All Conventional loans must adhere to specific loan limits set by the Federal Housing Finance Agency (FHFA). These limits are revised annually and vary based on the location of the property. Starting in 2025, you can borrow up to $806,500. In high-cost areas, the limits may be higher, allowing borrowers in those regions to secure larger loans while still benefiting from the advantages of a Conventional loan.
How much down payment do I need with a 30 year fixed Conventional loan?
Any Conventional loan used to purchase a primary residence will require a 3% minimum down payment if you are a first time home buyer and a 5% minimum down payment if you are not a first-time buyer. First time home buyers are defined as anyone that has not owned a home in the past 3 years.
If you are purchasing a second home or investment property, you will need to make at least a 15% down payment.
Do all Conventional loans require Private Mortgage Insurance (PMI)?
Yes, Conventional loans will require Private Mortgage Insurance (PMI) if you make less than a 20% down payment or have less than 20% equity, if refinancing. However, you only pay monthly mortgage insurance, not additional upfront mortgage insurance like FHA, VA or USDA loans. If you have a good to excellent credit score, the mortgage insurance is not terribly costly, especially if you have a down payment of at least 10%.
What is the max Debt to Income Ratio (DTI) for a 30 year fixed Conventional loan?
Your debt-to-income ratio is the percentage of your gross income that goes towards your monthly debts, including a proposed new mortgage payment. Conventional loans typically require that your monthly debts not exceed 50% of your gross qualifying income.
What documentation do I need to provide for a 30 year fixed Conventional loan?
All Conventional loans will require that you fully document your income and assets. Standard documentation requirements include recent paystubs, last two years of W2s, and the last two years of tax returns, if self-employed. You will also need to document all liquid assets used for down payment and closing costs.
What types of properties can be financed with Conventional loans?
Conventional loans can be used to finance single family residences, multi-family properties up to 4 units, condominiums, townhomes, and manufactured homes.
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