Conventional loans, shopped across 40+ lenders
The most common mortgage in the country, written to Fannie Mae and Freddie Mac guidelines. We compare 40+ lenders to find your fit, with $0 processing or underwriting fees.
What is a conventional loan?
A conventional loan is the most common type of mortgage in the U.S. It follows the guidelines set by Fannie Mae and Freddie Mac, and it is not backed by a government program like FHA or VA.
For 2026, conventional loans go up to $832,750 for a single-family home in most of the country, with higher limits in more expensive markets (up to $1,249,125). A loan above your area’s limit is called a jumbo loan, and we do those too.
Why do loan limits change every year?
Every fall, the Federal Housing Finance Agency (FHFA) sets the conforming loan limit for the year ahead. By law, that limit tracks the average U.S. home price, so when home values rise, the limit rises with them. For 2026 the baseline went up 3.26%, from $806,500 to $832,750.
There is also a higher limit for expensive markets. Where local prices run well above the national average, the limit can reach $1,249,125 for 2026. That is why the same loan amount can be conventional in Phoenix and jumbo in Los Angeles. We will tell you exactly where your number lands.
What is the conventional loan limit where I’m buying? (2026)
Most of the country shares one baseline limit. A handful of pricier metros get more. Here is how five markets compare for a single-family home in 2026.
| Market | 2026 one-unit limit |
|---|---|
| Most of the U.S. (baseline) | $832,750 |
| Phoenix, AZ | $832,750 |
| Atlanta, GA | $832,750 |
| Miami, FL | $832,750 |
| Denver, CO | $862,500 |
| Los Angeles, CA | $1,249,125 |
Limits reset every January. Figures shown are for 2026. Above your area’s limit, a loan becomes a jumbo loan.
What is PMI, and how do you get rid of it?
PMI stands for private mortgage insurance. On a conventional loan, PMI applies when your loan is more than 80% of the home’s value, meaning you have less than 20% equity. It protects the lender, not you, and it is added to your monthly payment. The good news: unlike FHA mortgage insurance, conventional PMI is not permanent. Here is how it comes off.
Ask at 20% equity
Once you reach 20% equity based on your original value, with a solid payment history, you can request that your servicer remove PMI.
It drops automatically at 22%
By federal law, PMI ends automatically once your balance is scheduled to reach 78% of the original value (22% equity).
Refinance
Refinancing into a new loan can clear PMI once you have enough equity, and we can tell you if the math works.
Some loans can be structured with no monthly PMI at all. Because we shop 40+ lenders, we can compare your PMI options side by side and show you the real cost of each.
Removing PMI after your home gains value
If your home has appreciated, you may not have to wait to pay the balance down. You can ask to cancel PMI based on a new appraisal (current value). The equity you need depends on how long you have had the loan.
| How long you’ve had the loan | Equity needed (based on a new appraisal) |
|---|---|
| More than 2 years, up to 5 years | 25% equity (75% loan-to-value) |
| More than 5 years | 20% equity (80% loan-to-value) |
Based on Fannie Mae guidelines for a one-unit primary residence or second home; your servicer orders the appraisal and confirms the value. A good payment history is required, and different thresholds apply to investment and 2 to 4 unit properties. We are happy to walk you through your specific situation.
Conventional loan FAQs
Is there a minimum credit score for a conventional loan?
There is no single cutoff anymore. Conventional approvals look at your whole financial picture, not one number. Because we shop 40+ lenders, we can match you to the program that fits your credit instead of turning you away over a score.
What is the difference between a conventional loan and a conforming loan?
Conforming means the loan fits within the FHFA limit and Fannie Mae or Freddie Mac’s rules. Conventional means it is not a government loan. Most conventional loans are conforming. A conventional loan above your area’s limit is a jumbo loan.
Do I have to pay PMI for the life of the loan?
No. You can ask to remove PMI at 20% equity based on your original value, and it drops automatically at 22%. If your home has gone up in value, you can use a new appraisal to cancel it sooner: 25% equity if you have had the loan 2 to 5 years, or 20% equity after 5 years. Some loans skip monthly PMI entirely.
What is the conventional loan limit in my area for 2026?
$832,750 for a single-family home across most of the country, including Phoenix, Atlanta, and Miami. Pricier metros get more (Denver is $862,500, Los Angeles is $1,249,125). Above the limit, you are looking at a jumbo loan.
Can I use a conventional loan for a second home or an investment property?
Yes. That is one of conventional’s advantages over FHA and VA, which are for primary residences. Conventional financing works for primary homes, second homes, and rentals.
I’ve had a credit hiccup in the past. Can I still get a conventional loan?
Often, yes. Conventional guidelines leave room for past bumps, and lenders treat them differently. Sometimes an FHA loan is more forgiving of past credit issues than conventional, which is exactly where a broker helps. We compare both and put you with the program and lender that fits.