Conforming Loans with a 1% Down Payment

Conforming Loans:
Conforming loans are conventional loans that meet bank-funding criteria set by Fannie Mae (FNMA) and Freddie Mac (FHLMC). Both of these stock-holding companies buy mortgage loans from lending institutions and secure them for resale to the investment community. Every year, form October to October, Fannie Mae and Freddie Mac establish limits on what constitutes a conforming loan in a mean home price.Buying back mortgage loans allow these agencies to provide a continuous flow of affordable funding to banks that reinvest their money back into more mortgage loans. Fannie Mae and Freddie Mac only buy loans that are conforming, to repackage into the secondary market – effectively decreasing the demand for non-conforming loans.

*Conforming Loan with a 1% Down Payment (700 FICO score needed)

*Conforming Loan with a 3% Down Payment (620 FICO score needed)

*95% Loan to Value with NO Private Mortgage Insurance (Lender Paid)

General Conforming Loan Limits for 2018

The general loan limits for 2018 have increased and apply to loans delivered to Fannie Mae in 2018 (even if originated prior to 1/1/2018). Refer to Lender Letter LL-2017-10 for specific requirements.Maximum Loan Amount for 2018

Units Contiguous States, District of Columbia, and Puerto Rico Alaska, Guam, Hawaii, and the U.S. Virgin Islands
1 $453,100 $679,650
2 $580,150 $870,225
3 $701,250 $1,051,875
4 $871,450 $1,307,175

Maximum Loan Amount for High-Cost Areas for 2018

Units Contiguous States, District of Columbia+ Alaska, Guam, Hawaii, and the U.S. Virgin Islands
1 $679,650 $1,019,475
2 $870,225 $1,305,325
3 $1,051,875 $1,577,800
4 $1,307,175 $1,960,750