The default home loan in America. Backed by Fannie Mae or Freddie Mac, available with as little as 3% down through HomeReady and Home Possible, and structured so mortgage insurance drops automatically at 78% LTV. We close conventional loans every week for first-time buyers, move-up buyers, refinance clients, and investors.
5% down minimum on a primary residence. The most common option for buyers who don't need the lower-down or alternative-credit features of FHA. Generally favors borrowers with 700+ credit scores and stable income.
3% minimum down for income-qualified first-time buyers. Designed for borrowers under 80% of area median income. Reduced mortgage insurance, allows non-borrower household income for qualification, and accepts boarder income.
Freddie Mac's answer to HomeReady. 3% down for very low to moderate income borrowers. Flexible source-of-funds rules (gifts, grants, employer assistance, DPA). Often the best fit when a state DPA program is layered on top.
Up to 80% LTV cash-out for primary residences. Tap equity for renovation, debt consolidation, investment, or any qualified purpose. Investor cash-out caps lower. Available 6 months after purchase under most guidelines.
Drop your rate, shorten your term, or remove mortgage insurance. When rates dip, this is the cleanest refi path for borrowers already in conventional or FHA loans with 20%+ equity.
Conventional 203k equivalent. Roll renovation costs into the purchase loan. Up to 75% of the as-completed value or purchase price + improvements. Cosmetic, structural, and even luxury improvements (pool, addition).
One-time-close construction. Lock your permanent mortgage rate during construction, single closing, no need to requalify when the home is done.
Stack DPA on a 3% conventional and your effective down can be near zero. CalHFA MyHome, GSFA Platinum, NJHMFA, Chenoa Fund, and many county-level programs work with conventional financing. We model the stack before you write the offer.
Up to 10 financed conventional loans. 15-25% down depending on units and rate strategy. Cash flow from rents helps qualify. Strong path for first-time investors before stepping into DSCR or Non-QM products.
10% down on a true second home. Conventional financing for vacation properties (Tahoe, Wildwood, Long Beach Island, San Diego, etc.). Must meet occupancy requirements and be a reasonable distance from the primary residence.
No monthly mortgage insurance payment. LPMI bakes the MI cost into a slightly higher rate. Often makes sense for borrowers who plan to keep the loan less than 7 to 10 years or want a clean monthly payment structure.
Conventional PMI is removable. Drops automatically at 78% LTV based on original value. We help borrowers request early removal if home values have risen enough to clear 20% equity.
Certified Mortgage Advisor and Branch Manager at PRMG Mortgage (NMLS #75243). 28 years in mortgage lending. Specializes in FHA, VA, conventional, DPA, jumbo, Non-QM, renovation, and construction financing for buyers and investors in Sacramento, New Jersey, and nationwide. PRMG is licensed in 49 states, excluding New York. Three-time Gold Award winner for Highly Reviewed Mortgage Team in Sacramento (2023, 2024, 2025). NMLS #225375.
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Source materials are publicly available agency and government resources. Program availability and guidelines may change. Always verify current guidelines with the agency or with Ken Clark Jr. before relying on them for a transaction.
Sources consulted: HUD.gov, VA Home Loans, CalHFA, GSFA, NJHMFA, Freddie Mac DPA One, Down Payment Resource, NMLS Consumer Access.
All program references on this page are based on publicly available agency guidelines as of the last-reviewed date. Program availability and guidelines may change. PRMG must be approved for a program before originating it. Final eligibility depends on credit, income, assets, property, occupancy, and underwriting.