The industry standard for purchase and refinance. Conventional loans offer flexible terms, competitive interest rates, and down payments as low as 3% for qualified buyers.
Qualified buyers, including first-time homebuyers, may access low-down-payment options on primary residences.
Private Mortgage Insurance automatically cancels once your loan balance reaches 78% of your home's original value.
Choose standard 30-year fixed stability, faster 15-year equity building, or adjustable-rate mortgages.
Direct answers to common questions about conventional mortgage requirements, loan limits, and cancellable PMI.
Conventional mortgages are suited for homebuyers and homeowners with established credit profiles who want competitive interest rates, flexible terms, and cancellable private mortgage insurance (PMI).
Down payment options start as low as 3% for qualified first-time buyers and 5% for repeat buyers on primary residences.
Conventional financing is generally more cost-effective for borrowers with higher credit scores because private mortgage insurance (PMI) cancels once 20% equity is achieved, whereas FHA mortgage insurance typically remains for the life of the loan.
FHA loans, however, offer alternative credit qualification criteria and higher debt-to-income allowances for eligible buyers.
For 2026, the FHFA baseline conforming loan limit for a 1-unit single-family home is $832,750, with elevated high-balance limits up to the statutory ceiling of $1,249,125 in high-cost California counties like Los Angeles, Orange, and Santa Clara.
Intermediate counties carry custom limits (such as San Diego at $1,104,000, Ventura at $1,035,000, Monterey at $994,750, and Santa Barbara at $941,850), while baseline counties such as Riverside, San Bernardino, Sacramento, and Fresno remain at $832,750. Single-family loan balances exceeding a county's specific conforming limit require non-conforming jumbo financing.
Conventional loans finance single-family detached homes, planned unit developments (PUDs), warrantable condominiums, and 2-to-4 unit residential properties.
Eligible occupancy includes primary residences, second homes, and 1-4 unit residential investment properties.
Competitive fixed-rate conforming financing across California's diverse residential markets. Review local financing context in major counties:
Submit your scenario online to explore eligible conventional loan programs.