Los Angeles, CA; 22, May 2015: Conventional mortgage loans are commonly referred to as conforming and non-conforming loans, depending on the amount of the loan and the conforming limits in the borrower’s county. Conventional loans usually require proof of income and down payments of at least 5% for a purchase, and 10% equity for a refinance.

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Conforming Loans

A conventional mortgage loan is said to be conforming when the loan amount is less than $417,000 – $729,750 depending on the borrower’s county. The conforming loan limits vary depending on the county and the relative cost of living. For example, in San Francisco, the relative cost of living is high, and the maximum conforming loan limit figure is $729,750. Any borrowers interested in a loan should talk to an experienced loan agent about conforming loan limits and rates available for a purchase or a refinance.

Non-Conforming Loans

Non-conforming loans refer to conventional mortgage loans that surpass the conforming loan limit in the borrower’s county. These loans are also classified as conventional loans, however, lenders may sometimes refer to them as either “high value” or “jumbo” loans depending on the loan amount. These loans are generally available with slightly higher interest rates compared to the rates of conforming loans. Any borrowers interested in a loan should talk to an experienced loan agent about non-conforming loan limits and rates available for a purchase or a refinance.

Features of Conventional Loans

Many lenders offer low down payment loans, but usually require mortgage insurance premiums, especially with a down payment less than 20%. Some lenders will not require mortgage insurance premiums with low down payments, but it depends on the lender’s guidelines and rates. Conventional loans are offered by retail lenders such as Bank of America, Wells Fargo, Chase or Citi Bank; but there are many wholesale lenders that offer lower rates and more personal service.

The agents at QK Mortgage work with wholesale lenders that offer the lowest rates and highly personalized service. For those borrowers seeking a no mortgage insurance loan, the agents at QK Mortgage source conventional home loans and financing for projects including condos, bungalows, duplexes, 2-4 unit residential apartments. Conventional loans offer a much more competitive rate in today’s market for borrowers that have the income and down payment for a purchase or the equity for a refinance.

Advantages of Conventional Loans

The main advantages of conventional loans are the low rates and low down payment requirements. In most cases, mortgage insurance is not required when acquiring conventional loans with 20% down or 20% equity. As earlier mentioned, conventional mortgage loans can be used on any type of property and occupancy. Also, there are no maximum loan limits.

Call and talk to the agents at QK Mortgage today! They help borrowers to find the best loan with the best rate! Pre approval are available on the phone! Call (818) 987-2760

About QK Mortgage:

QK Mortgage is part of Maxim Real Estate Group Inc., which is a CA BRE licensed Real Estate Broker. QK Mortgage specializes in conventional loan where borrowers can easily purchase a home with low down payment. They also have other amazing loan such as stated income loan, FHA loan, Reverse mortgage loan, and HARP program.

For Media Contact:
Contact Person: Darryl Bledsoe
Telephone: (818) 741-3640
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Website: http://qkmortgage.com/