Conventional Loans
Conventional loans that meet bank-funding criteria set by Fannie Mae (FNMA) and Freddie Mac (FHLMC). Both of these stock-holding companies buy mortgage loans from lending institutions and secure them for resale to the investment community. All year round, Fannie Mae and Freddie Mac are working for you, establishing limits on what constitutes a conforming loan in a mean home price. Buying back mortgage loans allows these agencies to provide a continuous flow of affordable funding to banks that reinvest money back into additional mortgage loans. Fannie Mae and Freddie Mac exclusively buy loans that are conforming, to repackage into the secondary market and effectively decreasing the demand for non-conforming loans.
San Diego Conventional Loan Limits for 2025:
| Number of Units | Maximum original principal balance |
| 1 | $1,077,550 |
| 2 | $1,379,450 |
| 3 | $1,667,450 |
| 4 | $2,072.250 |
Please contact us for the loan limits in your specific County or to learn about our high balance and Jumbo loan programs.
Conventional Loan Q & A:
What is the minimum down for Conventional financing?
We have Conventional loan programs available with as little as 3% down for first time homebuyers and 5% down for those who own or have owned a home within the most recent three years.
Do I need perfect credit when applying for a Conventional Loan?
No, we can go down to a 620 Fico score as long as we have an automated underwriting approval.
How long after a Bankruptcy can I purchase with Conventional Financing?
Conventional loans require a 4-year waiting period from BK-7 discharge before applying for Conventional financing however, with documented extenuating circumstances out of one’s control, I’ve
seen as little as a two-year waiting period. If BK-13 with no late payments, the waiting period is 2 years from discharge date and 4 years from dismissal date.
How long is the waiting period after a foreclosure?
After a foreclosure, Conventional financing requires a 7-year waiting period unless extenuating circumstance out of one’s control exist, which then would only require a 3-year waiting period and a
maximum 90% loan to value.
How long after a short sale or deed in lieu of foreclosure can I purchase again?
After a short sale or deed in Lieu of foreclosure, you can purchase again after 4 years or two years if documented extenuating circumstances exist.
Do I have to be a US citizen to purchase with Conventional financing?
The short answer is no, as long as you are in the US legally with a resident alien card, Daca, or one of many acceptable Visas, you are eligible to purchase.
Andre Enriques Mortgage Banker - VA Loan Expert is located in Chula Vista, and works with conforming loans around the county, including San Diego, National City and surrounding areas.
