Conventional loans meet the guidelines of Fannie Mae and Freddie Mac. They aren’t insured by the government, but they still have flexible guidelines. Conventional loans also have great terms for homebuyers throughout Louisiana.
You may think that you need a large down payment or ‘perfect’ credit for conventional loans, but you don’t. We work with a large number of lenders, each with flexible requirements that differ from one another. Let us show you how you can get 15 and 30-year fixed mortgages in Louisiana.
Louisiana Conventional Loans are a great option for First Time Home Buyers and Repeat Home Buyers. Conventional Loans require a credit score of 620 and down payments range from 3%-5% down. Conventional Loans can also be a great option for borrowers with a lot of student loan debt.
Many people mistakenly think they need a 20% down payment for conventional loans. While it’s a nice goal, it’s not required. We work with lenders that allow down payments as low as 3% – 5% of the sales price. This means you may be able to buy a home sooner than you thought.
If you qualify for a loan with a higher loan-to-value ratio than 80%, you’ll pay Private Mortgage Insurance or PMI. While PMI does increase your mortgage payment, it helps you secure a loan with a low down payment.
We’ll walk you through the process; explain how it affects your loan; and more importantly, when you can get rid of PMI.
You may have heard that conventional loans have strict requirements. While they are a little tougher than government loans, such as FHA and VA loans, they are still flexible:
We’ll walk you through each step to determine if you are eligible for a conventional loan.
Conventional loans are available on just about any property type including single-family homes, townhomes, condos, and manufactured homes. Unlike the government-backed loans, you can use conventional loans on any of the following:
Just keep in mind, if you have a mortgage on your primary residence, you’re debt-to-income ratio must align with the lender requirements using both mortgages.
Conventional loans offer the choice between loan terms. First-time homebuyers, for example, typically stick with the 30-year fixed mortgage in Louisiana. Spreading the payments out over 30 years makes the payment lower. It also makes it easier to meet the conventional loan debt-ratio requirements.
But, the 15-year fixed mortgage in Louisiana offers the chance to own your home in half the time. With a 15-year loan, you’ll enjoy lower interest rates. You’ll also build equity in the home faster since you’ll pay the principal down faster.
Conventional loans are an option for many people that don’t even realize it. Let us help you understand how the loans work and see if you qualify. We have a variety of loan options available to help you find the loan for your dream home. We’ll help you choose between the 15-year fixed mortgage in Louisiana or the 30-year term.
In order to get a conventional loan you need to make sure you meet all of the requirements. The best way to get started is to speak with a loan expert who can answer all of your questions.
Talking to an expert will help you:
If you are ready to get started just click get qualified below.
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