Conforming Loans
What is it?
A Conforming Loan is a mortgage loan that corresponds to special lending terms, requirements, and guidelines established by government-sponsored enterprises like the Federal National Mortgage Association (Fannie Mae).
Program Details:
Right now, a Conforming Loan maximum on a single-family home must fall under $548,250. In some counties, the loan value can be as much as $625,500 for 1 unit property.
Benefits of a Conforming Loan:
Standardized Guidelines
A Conforming Loan has regulated guidelines, meaning you will be protected from lenders ' poor lending practices.
Lower Interest Rate.
Typically, Conforming Loans give a lower interest rate to borrowers with high credit scores.
Offered by Different Lenders
Conforming Loans are given by many lenders, enabling you to compare services and prices.
Lower Monthly Payments
With lower monthly payments, you will spend less money over the life of the loan.