Flexible Conventional Financing for More Property and Loan Goals

Conventional Fixed-Rate Mortgage

The note rate remains fixed for the entire loan term. The principal-and-interest portion of the monthly payment stays stable, although taxes, insurance, mortgage insurance, and association charges may change.

• Common terms may include 10, 15, 20, 25, or 30 years, subject to lender availability.
• May be available for eligible primary residences, second homes, and investment properties.

Conventional 3/6 ARM

The interest rate is fixed for the first three years and may adjust every six months afterward. The adjustment is determined by the loan index, margin, periodic caps, and lifetime cap.

Conventional 5/6 ARM

The interest rate is fixed for five years and may adjust every six months after the initial period. This structure may provide a different initial rate than a fixed-rate mortgage, but future payments can increase.

Conventional 7/6 ARM

The interest rate is fixed for seven years and may adjust every six months afterward. A borrower should compare the initial payment, qualifying payment, caps, maximum payment, and expected ownership period.

Conventional 10/6 ARM

The interest rate is fixed for ten years and may adjust every six months after that. It offers a longer fixed period while retaining adjustable-rate risk later in the term.

Conventional Temporary Buydown

An eligible seller, builder, lender, or other permitted contributor may fund a temporary reduction in the borrower's required payment. Common schedules include 1-0, 2-1, and 3-2-1 structures.

Permanent Interest-Rate Buydown

The borrower or another permitted party pays discount points at closing to obtain a lower note rate for the life of the mortgage. This differs from a temporary buydown because the actual note rate is reduced.

Standard Conforming Purchase Loan

Traditional agency-eligible financing for an approved primary residence, second home, or investment property. Down payment, mortgage insurance, reserves, credit, income, and property requirements depend on occupancy and transaction details.

HomeReady Mortgage

HomeReady is a Fannie Mae affordable-lending option for eligible borrowers and properties. It may provide low-down-payment financing, flexible funding sources, and reduced mortgage-insurance features, subject to income, occupancy, education, and underwriting requirements.

Home Possible Mortgage

Home Possible is a Freddie Mac affordable-lending mortgage for qualified borrowers who meet income, occupancy, property, funding, and underwriting requirements. It may support low-down-payment financing and flexible eligible sources of funds.

HomeOne Mortgage

HomeOne is a Freddie Mac option for eligible first-time homebuyers purchasing or refinancing a one-unit primary residence under current program rules. Borrower, property, loan purpose, mortgage insurance, and underwriting requirements apply.

Fannie Mae Standard 97% LTV Mortgage

An eligible first-time homebuyer may use the standard Fannie Mae 97% loan-to-value purchase option for a qualifying one-unit primary residence. Mortgage insurance, automated underwriting, education, and other agency requirements apply.

Fannie Mae HFA Preferred Mortgage

HFA Preferred is available through eligible housing finance agencies and their approved lender partners for qualifying borrowers. The housing agency controls program participation and many assistance or affordability rules.

Freddie Mac HFA Advantage Mortgage

HFA Advantage is available through participating housing finance agencies and approved lenders. It may support affordable first-mortgage and subordinate-assistance structures for eligible borrowers.

Conforming High-Balance Mortgage

A high-balance conforming mortgage is available for an eligible property in a designated high-cost area and uses an agency loan limit above the standard baseline. It remains a conforming loan but may have different pricing, down-payment, reserve, and underwriting requirements.

Conventional Rate-and-Term Refinance

A rate-and-term refinance replaces the existing mortgage primarily to change the rate, term, or loan structure without providing substantial cash proceeds. Closing costs, equity, appraisal, seasoning, and benefit requirements depend on the program.

Conventional Limited Cash-Out Refinance

A limited cash-out refinance allows only the amount of cash back permitted under current agency rules while primarily paying off eligible existing liens and closing-related costs.

Conventional Cash-Out Refinance

A cash-out refinance replaces an existing mortgage with a larger loan and provides eligible equity proceeds after liens, costs, and required payoffs. Maximum loan-to-value, seasoning, ownership, occupancy, reserves, and credit requirements apply.

Delayed Financing Exception

Delayed financing may allow an eligible buyer who recently purchased a property with cash to obtain a conventional mortgage without waiting for the standard cash-out seasoning period, when every current agency condition and source-of-funds requirement is met.

Conventional Second-Home Loan

Financing for an eligible property the borrower occupies for part of the year as a true second home. The property must satisfy current location, occupancy, rental, management, and usage requirements and cannot be misrepresented as a primary residence.

Conventional Investment Property Loan

Agency financing for an eligible one- to four-unit investment property. The lender evaluates credit, income, assets, reserves, rent, property condition, existing financed properties, and applicable landlord or investor requirements.

HomeStyle Renovation Mortgage

Fannie Mae HomeStyle Renovation combines an eligible purchase or refinance with financing for approved renovations. The lender reviews the contractor, plans, budget, permits, contingency reserve, draws, inspections, as-completed value, and project timeline.

CHOICERenovation Mortgage

Freddie Mac CHOICERenovation may combine eligible renovation expenses with a purchase or refinance mortgage. Program features, project scope, contractor, appraisal, draw, reserve, and completion requirements apply.

Fannie Mae HomeStyle Refresh Mortgage

HomeStyle Refresh may finance eligible improvements as part of a purchase or limited cash-out refinance. It is designed for a range of functional, safety, resilience, comfort, and energy-related upgrades, subject to current Fannie Mae and lender requirements.

Freddie Mac CHOICEReno eXPress Mortgage

CHOICEReno eXPress is a streamlined Freddie Mac renovation option for eligible smaller-scale improvements. Property, escrow, completion, inspection, cost, and lender requirements apply.

Conventional Construction-to-Permanent Loan

Construction-to-permanent financing may combine an eligible home construction project with the permanent mortgage. Depending on the lender, the transaction may use a one-time close or separate construction and permanent closings.

Conventional Manufactured Home Loan

Conventional financing may be available for an eligible manufactured home that meets current property, title, foundation, installation, appraisal, age, construction, land, and agency requirements. Special programs may apply to qualifying manufactured homes.

Conventional Condominium or Cooperative Loan

Financing may be available for an eligible condominium unit or, through certain programs, a cooperative interest. The lender reviews the unit and project, including insurance, budget, reserves, litigation, ownership concentration, commercial space, occupancy, and legal documents.