Conventional Mortgage Loans
A conventional mortgage loan, also known as a conforming loan, is a mortgage that falls within the guidelines of Government Sponsored Enterprises like Freddie Mac and Fannie Mae. The most common component of those guidelines is the actual size of the loan, which is now limited to loans under $424,100 for a single-family home.
There are two types of conventional mortgage loans: fixed rate loans and adjustable rate loans.
Fixed-Rate Conventional Loans
A conventional/conforming fixed-rate mortgage is a home loan with a monthly payment that stays the same throughout the term of the loan.
Adjustable-Rate Conventional Loans
A conventional/conforming adjustable-rate mortgage (ARM) is a home loan where the rate is locked for period of time (between 3 and 10 years). It then fluctuates with the market when the term is up. An ARM loan is a 30-year loan that will adjust every 12 months after the initial locked term expires. The benefit of an ARM is that you will end up with a lower monthly payment as compared to the fixed-rate mortgage for a period of time.
Contact Mortgage Solutions of St. Louis
While buying a home is exciting, securing the right loan or trying to find the lowest mortgage rates is not. At Mortgage Solutions of St. Louis, our experienced conventional mortgage loan lenders want to make sure buying or refinancing your home is a positive experience. We eliminate the stress by offering friendly advice to help you decide which conventional mortgage type is right for you.
Get in touch today by giving us a call at 314-963-9648.
I highly recommend using Jimmy Dunn for your mortgage needs! I shopped around and he was by far the most responsive, knowledgeable and trustworthy. He made the entire process so easy. I refinanced right before the rates went up and Jimmy worked hard to get me the best deal. When unavoidable issues came up in the underwriting process, he was relentless in getting the issues fixed and the loan closed. You won't be disappointed if you choose to use Jimmy for your lending needs!
Our family could not fulfill our financial goals in Real Estate without Jimmy’s expertise. He is knowledgeable, thoughtful, helpful, expedient with his work. He was also very patient with our work when it came to customizing our home buying and refinancing needs. In the holiday season, we all have things to be thankful for, and a productive working relationship with Jimmy is at the top of our families list. I strongly recommend others to work with Jimmy for any Real Estate financing needs.
I recently refinanced my home with Mortgage Solutions of St St Louis. My past experiences with refinancing taught me that the process would be long, stressful and time consuming. My experience with Mortgage Solutions of St Louis was the exact opposite. They were friendly, fast and made it easy. I think the difference is working with a company that does this all the time, they understand how to get people thru the approval process because they know what they are doing. Other firms do it part time and don't have the expertise. I would highly recommend them to anyone, they are customer focused and driven to help the consumer, not just a bank.
Webster Groves, MO
Mortgage Solutions always takes great care of us. They understand the market, can time their deals to deliver the highest benefit to their clients and make the process smooth.
Keefe Group
I can't say enough great things about Mortgage Solutions. Both my original loan and refinance were smooth and required a minimal amount of hassle. They are great about getting back to you immediately if you have questions or concerns. The best part is that they refinance for free, so we were able to switch from a 30 year to a 20 year at no cost to us and keep essentially the same payments.
St Genevieve School