Conventional Loans

What Is a Conventional Mortgage or Loan?

A conventional loan is the premier funding choice for those purchasing a new home or refinancing their current property. 

Being a mortgage solution not backed by federal agencies gives conventional loan borrowers some additional freedoms not offered to those using comparable mortgage options.

Trying to secure a conventional loan for your new home on your own, however, can be an absolute pain if you’re not very familiar with the process. The paperwork is filled with mortgage industry jargon that can be difficult to understand, determining what documents you need can be a hassle and at times you’re just not sure if you’re doing everything correctly.

We’re here to ease that stress and be the best resource possible to assure you have a thorough understanding and are comfortable with the conventional loan process.

What do you need to get a Conventional Loan

Like most loans, a conventional loan requires detailed and specific paperwork to be completed on time and accurately to assure you receive your funding. Navigating this paperwork without assistance can lead to a loss of time, money and add undue frustration to what can already be a tedious process.

The time and money you spend researching and completing difficult paperwork could be used shopping for that perfect couch or planning your epic housewarming party.

Is a Conventional Loan for You?

Depending on your circumstances, a conventional loan may be the perfect option for your funding needs. Conventional loans can be very flexible when compared to other mortgage funding options and in some cases only require a 3% down payment. Amer Bally can help guide you through the process step by step to assure your home financing needs are being met and answer any questions you may have about the process of applying for and securing a conventional loan. We’ll take the time to make each required document understandable and work tirelessly to make your home buying journey as stress-free as we possibly can.

Some of the benefits of a conventional loan are:

  • Liberal property standards allowing you to purchase a fixer upper or almost any home in the range of which you qualify.
  • Private Mortgage insurance (PMI) canceled automatically once your equity reaches 78% of the purchase price.
  • Some conventional loans require just a 3% down payment rather than the 3.5% required by FHA.
  • Repayment terms can vary from 10 to 30 years.
  • Conventional loans are a whopping 64% of the mortgage market.
  • No upfront mortgage insurance is required.

You’ll quickly notice how our team simplifies the process by educating you on the conventional loan process while assuring you have the proper support from the moment you contact us all the way until after you get your keys. The once intimidating and frustrating paperwork will become small understandable steps towards your home financing goal.

Take a look at some of the 5 star reviews Amer has received and let the experience of previous home buyers speak for itself.

"If you are in the market looking to purchase your dream home, look no further and go see Amer Bally from the Bally Team! Amer not only got us approved for the absolute lowest interest rate possible saving us tens of thousands of dollars, he was clear to close on our beautiful new home in as little as 8 days!!! Amer instantly answers phone calls and keeps you updated every step of the way like any business person should, making the entire transaction smoother than ever! STOP wasting your time dealing with unfair mortgage brokers and/or big banks who charge ridiculous fees, lack communication, and are in it only for their own pockets! Don’t let your realtors push you to go elsewhere and if they do, make sure you request a loan estimate before signing anything as Amer will beat it 95% of the time!!"

Fadi Arbo from Utica, MI

"Amer and his team were very good at communication and navigated the home loan process by utilizing all the tools in their toolbox. Got the clear to close and some new happy home owners and home sellers... Excellent work!"

Lia Lorchoco

"Amer was so beyond helpful in every step of the way during my first home buying process. He was able to save me over $1500 in closing costs and was always available when I had questions. I would highly recommend Amer! I rarely ever right reviews, but I had to share how awesome my experience was. Much better than my initial experience with Hall mortgage."

Kate H

Do you Need a Conventional Loan?

When you work with the Bally team you’ll reap the benefits of years of mortgage experience, first-class service and the full support of someone who genuinely cares about you and your home buying journey. Amer has a wealth of knowledge and experience in the conventional mortgage loan market and truly knows the ins and outs of securing funding for your home purchase. We charge zero fees on our loans and are dedicated to finding you an affordable home at a rock bottom interest rate.

Frequently asked questions

1. What is the minimum credit score required for a conventional mortgage loan?

Requirements may vary but 620 is typically the minimum credit score needed to obtain a conventional loan.

2. Does the Bally team offer products besides conventional mortgage loans?

Absolutely, the Bally team has many different products and services available.

  • Conventional loans
  • FHA loans
  • VA loans
  • Reduced down payment programs
  • Debt consolidation
  • Home Renovation
  • Second home programs

3. What type of home can I purchase with a conventional mortgage loan?

With a conventional loan you can purchase single family homes, condos, investment properties, townhomes, lofts and even second homes for vacationing.

4. How long does it take to complete my home purchase?

The standard turn around time for a home purchase is right around 30 days. This timeframe assumes you’ve completed all the necessary documents, your funding is in order, your appraisal is completed and you quickly complete any additional document requests.

5. How is my interest rate determined?

The interest rate you receive is based on the risk you present. Your risk level is determined primarily by these factors: credit scores, down payment, loan type, mortgage insurance or no mortgage insurance and the current bond market.

Each of these individual factors combined play a role in your conventional loan interest rate. 

Call us now at 586-945-3424, reach out to us via the website at get a jump start on the process by completing the pre-approval.

We can’t wait to hear from you!