FAQs (data-driven)

Conventional Mortgages

• What is a conventional mortgage?

  A mortgage loan through a private lender; credit union, bank, or mortgage company. A conventional mortgage is not secured through a government entity.

• What are the requirements to apply for a conventional mortgage?

  The requirements to apply for a conventional mortgage may include a higher credit score, lower debt-to-income ratio, and a down payment. For additional requirements, reach out to Goldenwest Credit Union today!

• Will a down payment be required for a conventional mortgage?

  As low as 3% down is required for a conventional mortgage loan. However, PMI is required when less than 20% is put down.

• What is PMI?

  PMI is private mortgage insurance. PMI is required if your down payment is less than 20%.

• Can I use gift funds for the down payment?

  Yes, however documentation is required. There may be additional requirements for gifted down payment funds. Reach out to one of our Mortgage Loan Officers for additional questions.

• Are there loan limits for a conventional mortgage?

  Yes, there are conforming loan limits in your area. A mortgage of $832,750 or more requires a jumbo loan instead of a conventional mortgage. Additional loan limits may apply based on the value of the property and borrowing ability.

• How long does the loan process take?

  The entire loan process can vary based on market conditions. Once you have found your future home, and your offer has been accepted, closing can take approximately 30 days.