Understanding Non-conventional Loans

To understand non-conventional loans we must first define conventional loans. 
“Conventional” financing, by definition, is not insured or guaranteed by the federal 
government. 

Conforming vs Non-Conforming Loans
Conventional loans are generally broken into two categories: “conforming” and 
“non-conforming.” A conforming loan is one that conforms or adheres to strict Fannie 
Mae/Freddie Mac loan underwriting guidelines. 

Non-Conventional Loans Explained
Non-conventional loans are granted according to strict loan qualification criteria such as credit score, income-to-debt ratio and other requirements. Non-conforming loans have no set guidelines and vary widely from lender to lender. In fact, lenders often change their own non-conforming guidelines from month to month. 

FHA - Non-Conforming - Unconventional Lenders
FHA loans can enable a potential borrower to get the funding needed for homeownership, real estate acquisition, construction, small business funding and more without having to adhere to strict credit score and credit history criteria. New borrowers, first time homebuyers, college grads, newly married individuals and those with bad credit should consider FHA loan programs.

Home Loan Articles

First Time-Homebuyer Programs
Mortgage Closing Costs Fees
Finding Low Interest Refinancing Programs
Home Purchase Loans
About Debt Consolidation Loans
Home Equity Loan Advantage

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