SIMPLIFIED MORTGAGE SOLUTIONS, LLC
Serving all of South Carolina
Copyright © Simplified Mortgage Solutions, LLC. All rights reserved.
Simplified Mortgage Solutions, LLC
110 Ministry Drive - Ste A
Irmo, SC 29063
Office: (803) 722-6044
Fax: (803) 722-6043
Who they’re for: Conventional mortgages are ideal for borrowers with good or excellent credit, and offer rates based on credit. These are conforming loans which have different criteria from FHA and VA home loans. The conventional home loan limits are up to $424,100, but high limits can be reached by combining them with a second lien, provided the minimum investment is still meet.
How they work: Conventional mortgages are “plain vanilla” home loans. They follow fairly conservative guidelines for:
What’s good: Conventional mortgages generally pose fewer hurdles than Federal Housing Administration or Veterans Affairs mortgages, which may take longer to process.
What’s not as good: You’ll need stronger credit to qualify for the best interest rates.
More About Conventional Mortgages: A conventional mortgage is a loan guaranteed by either Fannie Mae or Freddie Mac (unlike an FHA loan which is guaranteed by HUD, or a VA loan which is guaranteed by the Veterans Administration.
Because these loans have more options and flexibility, they are a little more difficult to qualify for. Several factors will determine whether you qualify for a conventional home loan: financial history, income, credit score, down payment, and the price of the home. You will be required to provide proof of income, and the lender will check your credit score to determine best loan options.Your credit report will tell the lender several things, including your debt-to-income ratio and your payment history. A history of late or missed payments and a high debt-to-income ratio will make it more difficult to get conventional approval.
Conventional home loans typically offer better terms with lower mortgage insurance costs and rates based on credit rating. Additionally, conventional home loans offer the ability for borrowers to finance multiple properties including second homes as well as investment properties. The amount you want to finance may play a role in whether you get financing. Because many mortgage companies choose to sell loans to Freddie Mac or Fannie Mae on the secondary market, they must make sure the loan conforms to their guidelines. Still have questions about Conventional Home Loans and available options?
Give us a call today to speak to one of our local Columbia conventional mortgage experts or simply apply online below!
Simplified Mortgage Solutions, LLC, NMLS# 1676360 Greg McCoy NMLS# 119871