Are you looking for a low-cost loan with some great benefits for saving money over the life of your loan? A 5280 Mortgage™ Conventional Home Loan may be a perfect fit.
| Products | Rate* | APR* |
|---|---|---|
| Conventional 15 Year Fixed | 3.499 % | 3.709 % |
| Conventional 20 Year Fixed | 3.750 % | 3.922 % |
| Conventional 30 Year Fixed | 3.999 % | 4.137 % |
Conventional loans can be a great lower-cost mortgage option for people who can afford to take advantage of some of its key benefits. One of these benefits is the lack of an additional mortgage insurance payment for borrowers who are able to make a 20% down payment. Even if you’re not able to put 20% down at close you can still have your mortgage insurance removed, after you reach 20% in equity, without having to refinance your property.
Borrowers who are refinancing also often choose conventional loans to save money compared to their existing mortgages. For example, FHA borrowers may transition to a conventional loan in order to eliminate mortgage insurance while getting a great rate.
Another key benefit of a conventional loan is its flexibility to be applied to many different kinds of properties. Conventional loans can be used to finance a primary residence, a second home, or a rental property.
Conventional loan borrowers have the choice of opting for either adjustable-rate (ARM) or fixed-rate loans, depending on their plans for the property. While many prefer the reliability of a fixed rate that stays the same over the life of the loan, some will opt for an adjustable-rate if they want to take advantage of the lower rate and don’t plan on staying in the house long enough to be at risk of seeing their pay increase.
While most conventional loans do require a down payment of some kind, many borrowers are surprised to learn that you can qualify for a conventional loan with as little as 3% down. If you wish to avoid mortgage insurance, you will need to put at least 20% down or wait until you reach approximately 20% equity in the home to cancel it.
While products like VA, USDA and FHA loans are structured to make home buying possible for a wider range of people, conventional loans have somewhat more stringent standards. Qualifying for a conventional loan generally requires the borrower to show an overall stronger financial profile to the lender in order to qualify for some of the unique benefits.
A few of the key eligibility requirements include:
Working for one of the top national lenders, 5280 Mortgage™ Loan Officers have earned a reputation for focusing on the unique needs of every customer. Whether they are first-time homebuyers interested in a conventional home loan or are looking to refinance their existing mortgage, our specialists are equipped to help borrowers through each and every step of the conventional mortgage process.
5280 Mortgage™ is dedicated to fulfilling the dream of homeownership for everyone interested in taking the next step on a new property. We’re working every day to improve the experience of finding the right home loan for your unique needs and offering competitive rates on a wide range of products. Interested to learn more about what 5280 Mortgage™ can do for you? Get your own customized quote today.
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