What is a conventional home loan, and why do they require a twenty percent down payment?
I am confused. I have been shopping around for mortgage rates, and I am a bit baffled by the information that I have been given. What is a conventional home loan, and why do they require a twenty percent down payment. There are many mortgages that require a smaller down payment, or even no down payment at all. I have money for a down payment, but it is not the twenty percent that a conventional mortgage would require. I can either get another type of loan, or I can look for a cheaper house to qualify for a conventional mortgage.