Definition

• Mortgages not insured or guaranteed by the federal government.
• Adheres to Fannie Mae and Freddie Mac guidelines.
• Typically fixed in both term and rate.

Ideal Borrowers

• Those with good to excellent credit.

Down Payment

• Higher down payment often required.

Benefits

• Good choice for borrowers with good credit and a higher down payment capability.

Usage Limit

• No restrictions on usage.

Strengths

• Ideal for borrowers with good to excellent credit.
• Fixed terms and rates provide stability.
• Conforming loans adhere to Fannie Mae and Freddie Mac guidelines, enhancing market availability.

Considerations

• Requires a higher down payment, which might be a challenge for some buyers.
• Strict credit and income requirements may limit accessibility for some individuals.