Conventional Loans in Richmond, VA
There are certain circumstances when a commercial borrower may not be eligible for government-backed loans. In such a scenario, a conventional loan can come to your help. Conventional Loans are types of mortgage loans that get backed by private lenders. The insurance is typically paid by the borrower.
Conventional simply means that the loan isn’t included in any government program. They usually cost less than FHA loans, but are harder to get. These loans are further divided into conforming and non-conforming categories. We at Mid Atlantic Commercial Capital, LLC assist you in applying for all these different types of financing based on your profile and specific needs.
What are Conforming Loans?
Conforming Loans are mortgages that conform to the FHFA financing limits. They also comply with Fannie Mae and Freddie Mac underwriting guidelines.
These loans offer the following advantages:
- Easier qualification
- Lower interest rates
- Typically, lower down payment
- Certain degree of flexibility with credit score
You can avail up to $484,350 in Richmond VA. The limit in high-cost counties can be up to $726,525. Mortgage insurance is usually required only if your down payment is less than 20%.
Fannie Mae and Freddie Mac are required to purchase different types of mortgage loans under the conforming loan limit. The national limit is set by the FHFA. The minimum limit is currently set at $510,400 but may be higher in higher-cost areas. Navigating through all the requirements and limits can be a daunting task for you. Our experienced professionals can assist you with all the key information and help you apply through our network of trusted and licensed lenders.
Nonconforming Loans are mortgage loans with greater limit than the conventional conforming mortgage loans. Due to their larger limits, they are also known as jumbo loans. The interest rates are higher, as they carry higher risk. The terms and conditions can vary from one lender to another.
Some of the key features of these loans include:
- Minimum 20% down payment
- Higher credit-qualifying conditions
- High mortgage interest rates
- Lending amount can be up to $2 million
There is a sub-category non-Jumbo non-conforming loan that represents loans that sizes that do not fall into any other category. Some of these loans are also designed for low-credit borrowers. They will typically have higher interest rates. Some of the key features of these non-Jumbo non-conforming mortgage loans are as follows:
- Minimal paperwork is required for your income
- Some of these loans allow interest-only payment
- Some plans also allow loan balance increase
We can also assist you in applying for certain unique Conventional Loans under niche programs and unusual circumstances. Our network of thousands of lenders allows us to tap into our connections to find the perfect loan to meet your needs.
We can assist you with obtaining different types of financing solutions. With over 70 years of combined experience in the field, our team has the certification, expertise, and connections required to make your business loans possible.
For more information about our services and to learn about the programs that we support, contact us at Mid Atlantic Commercial Capital, LLC today. Give us a call right now at 540-825-9800 or just write to us through this Contact Us form.