Conventional loans are mortgages without FHA, VA, or USDA insurance or guarantees. Conforming programs follow agency requirements; conventional financing also includes nonconforming loans. Compare the structure, mortgage insurance, and cash you retain after closing.
Qualification
Income, credit, debts, assets, occupancy, and property all matter. A program minimum is not a promise that every lender will approve the same file.
Mortgage insurance
PMI commonly applies when a purchase down payment is below 20%. Ask for the premium, payment structure, and cancellation rules; reaching a certain value does not automatically remove every form of insurance.
Choosing the structure
Compare a fixed rate, an ARM, and lower-down-payment options using the same loan amount and timeline. A longer repayment term may improve cash flow while increasing lifetime interest.
Explore the program guides
Fixed-Rate Mortgages
Keep a consistent principal-and-interest payment over the scheduled loan term.
Read the guide ↗Adjustable-Rate Mortgages
Explore an initial fixed-rate period followed by a rate that can adjust.
Read the guide ↗Low Down Payment Conventional Loans
Explore conventional purchase options with a smaller upfront down payment.
Read the guide ↗Second Home Financing
Discuss financing for a home you intend to use personally in addition to your primary residence.
Read the guide ↗Before we compare options
- Your purchase price or current loan statement and estimated value.
- Income sources, recurring debts, occupancy, and available funds.
- Your preferred payment range and expected ownership timeline.
- Questions about insurance, points, assistance, or payoff terms.
Common questions
Is the advertised minimum enough to qualify?
Not necessarily. Approval depends on the complete application, property, program, and lender requirements.
How should I compare this with another program?
Use consistent amounts and assumptions. Compare cash to close, full payment, insurance or program fees, remaining debt, and the expected time you will keep the loan.
Further reading & sources
Prepared by Aaron Clowes · NMLS #200900. Editorial sources checked October 27, 2026. Examples are hypothetical; actual costs, terms, eligibility, and program availability vary. This educational guide is not a rate quote or commitment to lend.