Conventional loans are mortgage loans offered by non-government sponsored lenders. A conventional, or conforming, mortgage adheres to the guidelines set by Fannie Mae and Freddie Mac. It may have either a fixed or adjustable rate. Gold Star Mortgage Financial Group - Christopher Chaffin offers conventional mortgages in Southfield, as well as all of Michigan.
What is a Conventional Loan?
While many think that a 20% down payment is required for all conventional loans, many lenders now offer low down payment options. Typically the minimum down payment on a conventional loan is 5% and the maximum seller concession allowed is 3% Click here to learn more about seller concessions.
Here are some examples of where a conventional loan may apply to you:
Your property in Novi has increased in value, your currently in an FHA (Federal Housing Association) loan and you are eligible to refinance to a conventional loan with no mortgage insurance.
You have between 3% and 20% down with excellent credit and you’d like to buy a house in Chesterfield.
You need some money, cash out up to 80% of your home’s value.
You’d simply like to lower your term and get your house paid off faster. We can do 10, 15, and 20 year terms as well as 30.
Conforming vs. Non-Conforming Loans
Conventional loans are split into two types: conforming and non-conforming.
Benefits of Conventional Loans
Conventional loans are intended for borrowers with better income and credit scores, and have good rates and flexibility.
Conventional Loan Limits
Different counties have different limits on how much you can borrow for a Conventional Loan.
For most counties in Michigan the loan limit is $453,100.00
Get Pre-Approved for a Conventional Loan
If you are looking to purchase a home in Southfield, Macomb Township, Clinton Township, Chesterfield Township, Harrison Township, St. Clair Shores or anywhere in Michigan, contact Gold Star Mortgage Financial Group - Christopher Chaffin at (248) 663-3130 for more information, or simply fill out the form on this page.