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Conforming loans follow Fannie Mae and Freddie Mac guidelines. They're the most common loan type in Rancho Cordova for a reason — predictable terms, competitive rates, and wide lender availability.
HousingWire flagged the 30-year fixed hitting 6.57% and applications dropping sharply. For conforming borrowers, that rate environment means locking strategy matters more than ever. Rates vary by borrower profile and market conditions.
$832,750
Sacramento County Loan Limit
620
Min Credit Score
740+
Best Rate Tier Score
3%
Min Down Payment
6.57% (as of Apr 2026)
30-Year Fixed (National)
Conforming Loans in Rancho Cordova
Most lenders want a 620 credit score minimum. To get the best pricing, you need 740 or above — that's where conforming rate tiers actually reward you.
Down payment starts at 3% for qualifying borrowers. Put down 20% and you skip private mortgage insurance (PMI) entirely. PMI is a monthly fee added when equity is below 20%.
Local decision guide
Use this guide to connect conforming loans eligibility, lender expectations, and local market factors before comparing payment options in Rancho Cordova.
Conforming loans follow Fannie Mae and Freddie Mac guidelines. They're the most common loan type in Rancho Cordova for a reason — predictable terms, competitive rates, and wide lender availability.
HousingWire flagged the 30-year fixed hitting 6.57% and applications dropping sharply. For conforming borrowers, that rate environment means locking strategy matters more than ever. Rates vary by borrower profile and market conditions.
Most lenders want a 620 credit score minimum. To get the best pricing, you need 740 or above — that's where conforming rate tiers actually reward you.
Conforming loans are sold on the secondary market. That means every lender prices them — but not identically. Margins vary more than most borrowers expect.
We shop conforming rates across 200+ wholesale lenders. Retail banks quote one rate. We find where the real pricing sits for your specific file.
Debt-to-income ratio (DTI) — what you owe monthly versus what you earn — is the number most Rancho Cordova buyers underestimate. Conforming guidelines cap DTI at 45-50% with strong compensating factors.
W-2 borrowers fit this loan cleanly. Self-employed buyers can qualify too, but expect two years of tax returns and averaged income. Low write-offs matter here.
FHA loans let you go lower on credit and down payment, but they carry a mortgage insurance premium (MIP) for the life of the loan in most cases. Conforming PMI drops off once you hit 20% equity.
Jumbo loans cover anything above the conforming limit. They price differently and underwrite differently. If your purchase stays under the Sacramento County limit, conforming is almost always the smarter structure.
Sacramento County's conforming loan limit sits at $832,750 for 2026. Most Rancho Cordova purchases fall comfortably under that threshold, keeping buyers in conforming territory.
Rancho Cordova's mix of townhomes, single-family homes, and new construction all fit standard conforming guidelines well. Condo buyers need to confirm the complex holds warrantable status — Fannie and Freddie won't buy loans on non-warrantable projects.
The 2025 limit is $832,750 for a single-unit property. Most Rancho Cordova purchases fall under this, keeping you in conforming loan territory.
Yes, but the condo complex must be warrantable. Fannie and Freddie won't purchase loans tied to non-approved projects.
All conforming loans are conventional, but not all conventional loans are conforming. Conventional just means not government-backed — conforming means it also meets Fannie and Freddie size and guideline limits.
No. You can put as little as 3% down. You'll pay PMI until you reach 20% equity, then it drops off.
Lenders typically require a 620 minimum. Scores of 740 and above qualify for the best rate tiers available.
For borrowers with 680+ credit, conforming almost always beats FHA on total cost. FHA mortgage insurance doesn't drop off the way PMI does.