Conforming Loans

Conforming loans, quite simply, are the most common loan programs available today. The criteria for conforming, also known as conventional loans, are established by Fannie Mae and Freddie Mac through authorization from the Federal government.

Qualifying for a conforming loan is dictated by a number of factors. The most important of these include credit score, loan-to-value ratio (LTV), debt-to-income ratio (DTI) and in cases of refinance, whether the borrower(s) is taking "cash out" from the transaction.

Fixed loan terms include 10, 15, 20, 25, 30 and 40 year terms. Adjustable rate products vary based on market conditions but the most common include 3, 5, 7 and 10 year ARMs.

To find out which fixed-loan term is best for you or for additional information, please contact me anytime.