Question 1

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

Accepted Answer

Most lenders require a minimum 620 credit score, though 740+ scores access the best rates. Higher scores significantly reduce your interest costs over the loan term.

Question 2

How much down payment do I need for a conventional loan?

Accepted Answer

Down payments start at 3% for first-time buyers and 5% for repeat buyers. Putting down 20% eliminates private mortgage insurance requirements.

Question 3

What's the difference between conforming and jumbo conventional loans?

Accepted Answer

Conforming loans fall below federal loan limits and qualify for Fannie Mae or Freddie Mac purchase. Jumbo loans exceed these limits and require stricter qualification.

Question 4

Can I use a conventional loan for a multi-unit property in San Anselmo?

Accepted Answer

Yes, conventional loans finance properties up to four units. You'll need larger down payments for 3-4 unit properties compared to single-family homes.

Question 5

How does PMI work on conventional loans?

Accepted Answer

Private mortgage insurance protects lenders when you put down less than 20%. It cancels automatically once you reach 22% equity through payments and appreciation.

Conventional Loans in San Anselmo: Flexible Financing for Marin County Homebuyers