C Conventional
The “Conventional” service refers to a type of mortgage loan that is not backed or insured by a government entity such as the FHA or VA
Instead, it’s financed and insured by private lenders and in accordance to the guidelines established by the two governing agencies: Fannie Mae and Freddie Mac.
5% Down
Payment
In comparison to some conventional loans which can require an initial down payment of 20%, this program allows for an initial down payment of 5%.
A lower initial down payment can facilitate the acess to home ownership to those who are unable to secure a more substantial down payment.
This conventional program enables applicants with a credit score as low as 700 to qualify for a mortgage loan.
Having a high credit score is generally associated with more favorable interest rates. However, this program gives flexibility to those who have a solid albeit not perfect credit history.
FICO
As low as 700
Just one year
of taxes
In some case, this program will require only one year of income tax declarations in order to qualify.
This can be beneficial to those who have recently begun to work for themselves or have experienced changes in their income streams.
In the same way as the previoulsy mentioned FHA program, this conventional program specifies that closing cost start from as low as 6%.
Closing costs usually include fees and costs associated with real estate transactions.
