The most flexible mortgage in the market — when it fits.
Conventional financing covers a wide range of borrowers and properties — from first-home buyers with strong credit to second-home and investment-property purchases. Used well, it's often the lowest long-term cost path to ownership.
What conventional really means.
A conventional loan is any mortgage that isn't backed by a government program like FHA, VA, or USDA. Most conventional loans follow guidelines set by Fannie Mae or Freddie Mac, which is why you'll sometimes hear "conforming loan." For qualified borrowers, the pricing is competitive, the rules are predictable, and the long-term cost is often lower than FHA — especially once PMI drops off.
Conventional is also the broadest tool we have. It's used for primary homes, second homes, condos that don't qualify for FHA, and investment properties. The right structure depends on what you're buying and how you plan to use it.
Before you write an offer.
- Down payment & PMI
Less than 20% down typically means PMI. It's removable later — but it's a real monthly cost up front.
- Credit pricing matters
Conventional pricing is more sensitive to credit score and loan-to-value than FHA. Small score changes can move the rate.
- Occupancy & property type
Primary, second home, and investment loans have different guidelines, reserves, and pricing.
- Condo project review
Some condos require additional project review. We confirm eligibility before the offer goes in.
How we use conventional locally.
In Tampa Bay, conventional financing is the workhorse for repeat buyers, condo purchases along the Gulf, and second homes for buyers relocating from out of state. We've also seen it used well by first-time buyers with strong credit who want to avoid FHA mortgage insurance entirely.
Common mistake: assuming conventional always requires 20% down. It often doesn't — but going under 20% means PMI, and the math should be clear before you write an offer, not after.
Conventional loan questions, answered.
See if conventional is your best long-term fit.
Quick conversation, real answers, no pressure.