Are you looking for Conventional Loans in Colorado?
Velocity Lending is your premier broker in Colorado for a Conventional Loans. We have over 10 years' experience helping borrowers get their dream homes.
One of the most common types of loans that home buyers come across is the conventional loan. These loans aren’t backed by the government, like FHA and VA loans.
Conventional loans follow the guidelines that Fannie Mae and Freddie Mac - two agencies responsible for standardizing mortgage lending - have set. But it’s lenders, such as banks, that are responsible for approving your conventional loan.
To apply for a Conventional Loans, you will need:
- A copy of your driver’s license
- Two years full tax returns if you’re self-employed - all pages and all schedules, two years W2's
- Two most recent pay stubs with year-to-date pay
- Two most recent asset statements - all pages with full transaction history, and a copy of your mortgage statement if you currently own a home.
What about a down payment and credit score?
- The minimum down payment amount for a conventional loan is 3% for a fixed-rate mortgage. It is best to have as much saved up as possible for a conventional loan down payment as a down payment of 20% or more can eliminate the need to pay monthly private mortgage insurance ('PMI').
- In most cases, you’ll need a credit score of at least 620 to qualify for a conventional loan.