A conventional loan is a home loan for individuals who have steady income, good credit and have funds available for a down payment. A conventional loan requires a 3% down payment. Hawkins Home Loans in West Sacramento, California helps buyers secure a conventional loan when purchasing property.
A conventional loan is not insured by the federal government (like USDA, FHA and VA loans) and can be the preferred route to home financing for many homebuyers and those purchasing investment property.
Applying for a Conventional Loan
Typically, a conventional loan requires that borrowers have 3-20% of the home's value as a down payment. Lenders who sell conventional loans review debt/income ratios and monthly housing costs. Also reviewed in the conventional loan application are credit scores, credit history and income over the past several years. Those who have gone through bankruptcies and foreclosures at least four years ago are eligible for a conventional loan, but must have excellent credit histories. Most loan programs review each applicant based on the Fannie Mae and Freddie Mac guidelines.
Typically, we will review the following items with you when applying for a conventional loan:
- Your Employment (Is your income and employment steady?)
- Down Payment (How much can you afford to put down?)
- Credit History (Is your credit good, do you have late payments?)
In addition, we can discuss your options for mortgage insurance and setting up an escrow account, which will allow you to have your mortgage insurance, homeowners insurance and property taxes taken out as part of your monthly mortgage payment.
Learn about the Home Buying Process from Fannie Mae, and then get preapproved for a conventional loan from Hawkins Home Loans in West Sacramento, California!
Conventional Loan Terms
Conventional loans are available in fixed-rate or adjustable-rate (ARM) loans and have a term of 15, 20 or 30 years. The shorter the term, the lower the rate. Those who are purchasing their first homes, an additional home or even investment property often turn to a conventional loan.
Conventional loans are perfect for homeowners who have funds available for a down payment and excellent credit. The application process goes quicker than FHA loans or VA loans since the government isn't involved in the application process. Homeowners with conventional loans also find their equity builds up quicker since a larger down payment is needed.
To see if you pre-qualify for a Conventional home loan, contact Lori Hawkins today at (916) 371-6300.
We've been working with Lori since October 2013. Lori has been pleasant and extremely helpful for Us with our initial home purchase and refinancing. She made the process easy and non stressful. We wouldn't think of working with anyone else. She's guaranteed to get you what you want!
Lori is an extremely professional flexible loan agent. I have been working with her for several years now and she is the only person I have been going through for my loans and every time she has been honest with me about what to do and how to do it. I highly recommend her to whomever is looking to purchase their first home or buying a second or more property. She will be persistent and punctual with you and make things as easy as possible. She also has ana amzing team behind her that helped us along the way when Lori was unavailable.
Lori was amazing. Wonderful experience in refinancing our home! The process was quick and easy, she saved us money and stress. Absolutely use her services in the future.
Lori and her staff were awesome. They worked really hard for us in this trying time. They communicated with us all the way through the process which is important to me!
I recently purchased my home last year using the VA. I went to Lori less than a year later and they refinanced my home saving me almost 300 a month. Will definitely use her on my next home purchase!
We have now worked twice now with Lori and her team. We have worked with a few different lenders and Lori is by far the easiest. They are efficient and care about getting you the best deal. Definitely have recommended to family and friends.
Very easy transaction and the staff were on top of it. I was kept updated and knew exactly what was happening every step of the way. Highly recommended!
Lori and her team were amazing when I refinanced my home loan! Lori personally answered all of my questions and was right by my side during the whole process; explaining everything to me in detail. I couldn’t have asked for a better experience!
Lori is a wonderful woman. She helped me purchase my home I’m in, and 2 years later here I am working with her again to refinance. The process was so easy she is like an angel from heaven. I will always do business with her.
This is my second transaction with Lori. I would look no further if you are looking for someone who is knowledgeable in the business. She makes the lrocess so easy.