Conventional loans compared across many lenders
A conventional loan is the standard choice for borrowers with steady income and solid credit. We shop your scenario with multiple wholesale lenders so you can compare real options side by side.
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Overview
A conventional loan is a mortgage that is not insured or guaranteed by a federal agency. Most follow the guidelines set by Fannie Mae and Freddie Mac, which is why they are also called conforming loans. They can finance a primary residence, a second home or an investment property with one to four units, and they cover purchases, rate-and-term refinances and cash-out refinances.
Lenders look closely at your credit score, your debt-to-income ratio and the size of your down payment. A low down payment is possible for qualified buyers, and a larger one usually improves pricing. When your down payment is on the smaller side, private mortgage insurance (PMI) is usually required. Unlike FHA mortgage insurance, PMI can be removed once you build enough equity through payments or a rise in value.
Conventional pricing differs from lender to lender, even for the same borrower. As an independent broker, QMS compares your file across many wholesale lenders and shows you the options before you commit. We collect your documents once, submit to the lender that fits, and keep you updated from application through closing. All loans are subject to credit approval and lender guidelines.
Is it a good fit?
- Have steady W-2 or documented self-employment income for the past two years
- Have a solid credit history and manageable monthly debts
- Want mortgage insurance that can be removed once you build equity
- Are buying a primary home, second home or rental property
- Need a loan amount within the conforming limit for your county
- Want to refinance to change your loan terms or take cash out
What you'll need
- Pay stubs covering the most recent 30 days
- W-2 forms for the past two years
- Federal tax returns, if self-employed or if you have rental income
- Bank and asset statements for the past two months
- Government-issued photo ID
- Purchase contract, or your current mortgage statement for a refinance
- Homeowners insurance information
How it works
How it works with QMS
Review your numbers
We review your income, credit and goals and confirm a conventional loan is the right fit.
Compare lenders
We price your scenario with multiple wholesale lenders and walk you through the options.
Underwrite and close
We submit your file, clear conditions with the lender and coordinate your closing date.
FAQ
Conventional loan FAQs
Don't see yours? Call us or send a message. We answer the same business day.
305-425-1990What credit score do I need for a conventional loan?
Minimum credit scores are set by Fannie Mae, Freddie Mac and each lender, and they vary. A higher score generally gets better pricing and lower mortgage insurance costs. If your score is close to a cutoff, we can review your credit report with you and point out steps that may raise it before you apply.
How do I remove PMI from a conventional loan?
PMI on a conventional loan can be canceled once you have enough equity. You can ask your servicer to remove it when your balance drops to a set level based on the original home value, and federal law requires automatic removal at a later point if you stay current. Some servicers also allow removal based on a new appraisal after the home gains value.
Is a conventional loan better than an FHA loan?
It depends on your credit, down payment and plans. Conventional loans often cost less for borrowers with strong credit, and PMI can be removed later. FHA can be more flexible with lower scores, although its mortgage insurance usually lasts longer. We price both side by side so you can compare total costs before you choose.
Can I use a conventional loan for an investment property?
Yes. Conventional loans can finance one- to four-unit investment properties. Expect a larger down payment, higher reserve requirements and pricing adjustments compared with a primary residence. Rental income from the property can often help you qualify. If you would rather qualify on the rent alone, a DSCR loan may be a better fit, and we can compare both.
Get started
Know your numbers before you make an offer.
Tell us about your scenario and we'll price it across our lenders the same business day.