Conventional Loans in Connecticut
Conventional loans are the most popular mortgage in America — and for good reason. With as little as 3% down, flexible terms, and mortgage insurance you can actually cancel, they're the default choice for buyers with solid credit. At AFC Mortgage Group, we've helped Connecticut families finance homes with conventional loans since 1998 — in-house, from first call to closing day.
Get Pre-Approved Today★★★★★
4.9 · 444 Google Reviews · Family-Owned CT Lender Since 1998
What Is a Conventional Loan?
A conventional loan is a mortgage that isn't backed by a government agency like the FHA, VA, or USDA. Instead, it follows guidelines set by Fannie Mae and Freddie Mac. Because they aren't government-insured, conventional loans reward borrowers with stronger credit and steady income — usually with lower total costs and more flexibility than government loans over the life of the loan.
Conventional loans come as fixed-rate or adjustable-rate, and can be used for primary homes, second homes, and investment properties. At AFC, we'll show you exactly where a conventional loan beats an FHA or other option for your situation — and where it doesn't. No guessing, no pressure, no jargon.
Who Is a Conventional Loan Right For?
Strong-Credit Buyers
With a score of 620+ (and the best pricing around 740+), conventional financing usually means lower total cost than a government loan.
Low-Down First-Timers
Qualified first-time buyers can put as little as 3% down through HomeReady and Home Possible programs.
Buyers Who Want to Drop PMI
Unlike FHA's permanent mortgage insurance, conventional PMI falls off automatically once you reach 20% equity.
Second-Home & Investment Buyers
Conventional financing is the go-to for vacation homes and rental properties that government loans won't cover.
Higher Loan Amounts
Finance up to the conforming loan limit without stepping into jumbo territory or extra documentation.
Refinancers Removing FHA MI
Already in an FHA loan? Refinancing to conventional can eliminate mortgage insurance once you have the equity.
How Conventional Loans Work at AFC
Getting started takes about two minutes and no SSN — just enough for us to understand your goals. From there you'll talk to a real Home Finance Advisor (a real person picks up the phone, always) who maps out your numbers and gets you pre-approved, often within 24 hours.
Because our processing and approval happen in-house, your file never gets shipped off to a call center. That means fewer surprises, faster answers, and a team that knows your name from first call to closing day.
Key Benefits of Going Conventional With AFC
As Little as 3% Down
Qualified buyers can get in with a low down payment — you don't need 20% to use a conventional loan.
Cancellable PMI
Mortgage insurance drops off automatically at 20% equity — no refinance required, unlike FHA.
Fixed or Adjustable
Lock a stable fixed rate for the long haul, or choose an ARM if you expect to move or refinance sooner.
Primary, Second, or Investment
One loan type covers your home, your getaway, and your rental property.
Sharp Pricing for Strong Credit
The better your credit, the better your terms — conventional loans reward financial discipline.
In-House, Start to Finish
Local processing and underwriting mean faster closings and a team that actually answers the phone.
Frequently Asked Questions
What credit score do I need for a conventional loan?
Most conventional loans require a score around 620, but the higher your score, the better your rate and your mortgage-insurance cost. We'll tell you exactly where you stand and how to strengthen it if needed.
How much do I need to put down?
As little as 3% for qualified first-time buyers, and 5% is common for repeat buyers. More down means lower payments and less — or no — mortgage insurance.
When does PMI go away?
Conventional PMI cancels automatically once you reach 20% equity (78% loan-to-value), and you can request removal at 20%. That's a major advantage over FHA, where mortgage insurance is usually permanent.
Conventional or FHA — which is better for me?
It depends on your credit, down payment, and the property. Strong credit usually favors conventional; lower credit or tighter funds may favor FHA. We'll run both and show you the real difference — no sales pitch.
What if I need more than the conforming loan limit?
Above the conforming limit you'd move into a jumbo loan, which has its own guidelines. We offer those too — just ask us where the line falls for your price range.
See What You Qualify For
No SSN · No hard credit pull · ~2 minutes · NMLS #2801.
Get real numbers in about 2 minutes — no SSN, no hard credit pull. A real person from our team follows up with your conventional options.