conventional & conforming home loans
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We offer conventional mortgage options including
fixed-rate and adjustable-rate.
You may have heard the term "conventional loan" before, and wondered what it meant. A conventional loan is simply any type of home loan not offered or secured by a government entity, such as the Department of Veterans Affairs (VA) or Federal Housing Administration (FHA).
PMG offers a variety of conventional loan options.
Conventional loans can also be guaranteed by one of two government-sponsored enterprises, the Federal National Mortgage Association ("Fannie Mae") and the Federal Home Loan Mortgage Corporation ("Freddie Mac"). You can find more information on conforming loans below.
Which mortgage is the best for me?
Fixed-rate loans are simple and east to understand. Your mortgage rate and your monthly payments never change. That's it. But there are a number of options, such as 15-, 20- and 30-year terms, to meet a range of financial needs.
An adjustable-rate mortgage (ARM) can lower your monthly mortgage payments, and help you save money on interest.
Fixed-rate mortgages are best for borrowers who:
Some advantages of ARMs include:
Want a loan that’s easy to budget for.
Don’t want their payments to change over time.
Plan to live in their new home for at least a few years.
Lower initial interest rates than fixed-rate mortgages.
Lower monthly payments starting out.
The opportunity to refinance after the fixed-rate period ends.
Caps that limit how much the interest rate can change in a given period of time
Benefits of an adjustable-rate mortgage:
Lower initial interest rates than fixed-rate mortgages.
Lower monthly payments starting out.
The opportunity to refinance after the fixed-rate period ends.
Caps that limit how much the interest rate can change in a given period of time
Contact PMG Home Loans to find out what conventional loan or other mortgage option is right for you!
better interest rates
When you qualify for a conforming loan, it's because in part you've demonstrated that you have a good credit history. That means that you're a reliable and responsible borrower, and thus present a lower risk. In addition, conforming loans fall under the maximum loan limit, which again, helps to limit the lending risk. That means that you can get a lower interest rate than you would otherwise.
lower down payments
These days, down payments of 20% or more aren't all that unusual. But with a conforming loan, it's sometimes possible to make a down payment of as little as 3%.
no funding fee
Many government-backed loans, such as VA and USDA loans, require the payment of a loan funding fee. This is a fee that's used to help cover the cost of running the federal government's loan programs. These fees can be quite pricey—as much as 2.4% of the total purchase price. But when you meet the stricter requirements of a conforming loan, these fees are often not required.
greater security
When you work with a lender like PMG Home Loans that offers conforming loans, you can rest easy in knowing that your lender (and your loan!) meets the stringent requirements implemented by Fannie Mae & Freddie Mac.
Need a conventional loan? PMG can help.
We understand if you're nervous about navigating the process of getting a home loan. You may have a lot of questions to ask. Don't worry, we're happy to help in any way we can! Give us a call, or just click the button below!