Conventional loans — the gold standard in homeownership.
Flexible, competitive, and widely accessible. Conventional financing offers some of the best rates and terms for buyers who qualify. Let's see if it's right for you.
What is a conventional loan?
A conventional loan is a mortgage not backed by a government agency like the FHA, VA, or USDA. These loans are offered by private lenders and conform to guidelines set by Fannie Mae and Freddie Mac.
Why borrowers choose conventional loans
Lower Interest Rates
Conventional loans typically offer the lowest interest rates available — especially for borrowers with strong credit.
No PMI Options
With 20% down, you can avoid private mortgage insurance entirely, saving hundreds per month.
Flexible Terms
Choose from 10, 15, 20, or 30-year terms to match your budget and long-term financial goals.
Higher Loan Limits
Conventional loans support higher loan amounts, making them ideal for move-up buyers and luxury homes.
Conventional loan requirements
- Credit score: Typically 620+ (740+ for the best rates)
- Down payment: As low as 3% (20% to avoid PMI)
- Debt-to-income ratio: Usually below 43%
- Employment history: 2+ years of stable employment
- Property requirements: Must meet Fannie Mae/Freddie Mac standards
Competitive Rates
Conventional loans often feature the lowest interest rates of any loan type — especially for borrowers with strong credit.
Get Rate QuoteConventional vs. FHA vs. USDA
Understanding the differences helps you choose the right loan program.
Conventional
- Down payment: 3-20%
- Credit score: 620+ typical
- PMI: Required under 20% down
- DTI: Up to 43%
- Property type: Primary, second home, investment
FHA
- •Down payment: 3.5%+
- •Credit score: 580+ typical
- •PMI: Required for all loans
- •DTI: Up to 43% (may exceed)
- •Property type: Primary residence only
USDA
- •Down payment: 0%
- •Credit score: 640+ typical
- •PMI: Guarantee fee (no traditional PMI)
- •DTI: Up to 41%
- •Property type: Rural/suburban eligible
When a conventional loan makes sense
Strong Credit
If your credit score is 740 or higher, you'll qualify for the best rates — often beating government loan programs.
20% Down Payment
With 20% or more to put down, you avoid PMI entirely while getting competitive rates.
Move-Up Buyer
Selling your current home to buy a larger one? Conventional loans handle complex situations well.
Investment Property
Looking to buy a rental? Conventional loans work for second homes and investment properties.
Your path to conventional financing
Rate Check
We pull your credit and discuss current conventional rates and your eligibility.
Pre-Approval
Get your official pre-approval letter with your approved loan amount.
Find Your Home
Work with your realtor to find the right property in the Lowcountry.
Close Smoothly
Our conventional loan expertise means efficient underwriting and on-time closing.
Conventional loan questions
Ready to explore conventional financing?
Let's find out if a conventional loan is your best path to homeownership.
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