Question 1

What credit score do I need for a conventional loan in Wasco?

Accepted Answer

Most lenders require a minimum 620 credit score for conventional loans, though 700+ scores secure better rates. Some programs accept lower scores with compensating factors like larger down payments.

Question 2

How much down payment is required for conventional financing?

Accepted Answer

Down payments start at 3% for first-time buyers and 5% for others. Putting down 20% eliminates private mortgage insurance and typically secures the best rates available.

Question 3

Can I use a conventional loan for investment property in Wasco?

Accepted Answer

Yes, conventional loans work for investment properties, though they require higher down payments and credit scores. Expect 15-25% down and stricter qualification requirements than primary residences.

Question 4

How does PMI work on conventional loans?

Accepted Answer

Private mortgage insurance applies to conventional loans with less than 20% down. It cancels automatically when you reach 22% equity or by request at 20%, unlike FHA insurance.

Question 5

What are current conventional loan rates in Wasco?

Accepted Answer

Rates vary by borrower profile and market conditions. Your credit score, down payment, and loan amount significantly impact the rate you receive from lenders.

Conventional Loans in Wasco: Flexible Financing for Kern County Homebuyers