Loan Options

Conventional Loans
The conventional loan is the most popular loan in the U.S. It typically requires 5-10% down, a 620 credit score or higher and a debt to income ratio of 45%. The distinguishing factor of a conventional loan is that it is a non-government-backed mortgage loan. (This is a bit of a misnomer now that the Federal Government explicitly backs the largest issuers of conventional loans, Fannie Mae and Freddie Mac). There are conventional conforming and conventional non-conforming loans. Conforming refers to the ability to sell the loan to one of the psuedo-government housing agencies (Fannie and Freddie). A conventional non-conforming loan is usually ineligible for delivery to the agencies. Conventional loans typically represent the best loans in the marketplace.

Government Loans
FHA and VA are the two largest types of mortgage loans that are backed by the Federal Government. FHA loans are typically more useful for people with lower down payments and/or lower credit scores. FHA loans are the second most popular loan in the U.S. behind conventional conforming loans. A VA loan is a loan made by the Veteran’s Administration for veterans of our armed forces. These loans come with special protections and benefits.

Jumbo and Super Jumbo Loans
A Jumbo loan is simply a loan that is too large to be considered purchasable by Fannie Mae or Freddie Mac. They typically require 20% down and the interest rates are usually about .75% - 1.00% higher than a comparable non-jumbo loan. At Stewart & Soss Mortgage, we can fund loans as large as $5,000,000 at ultra-competitive rates.

Getting Started
The best place to start is a free, no-obligation consultation. We’ll be able to tell you in a few minutes which choices might work best for you. Best of all, we can quickly pre-approve you free of charge. To schedule your consultation, call us at 408.295.2355 for immediate assistance.