Senior Mortgage Banker, American Neighborhood Mortgage Acceptance Company
1 year ago
Yes as mentioned above. The mortgage insurance is way cheaper on a Conventional loan as opposed to FHA. If you can put down at least 15 percent or are refinancing then a Fannie /Freddie loan (conventional) is the way to go. You will not have the upfront 1 percent mortgage insurance premium and if you do have mortgage insurance it will be significantly less a month. FHA is great for people who do not have much more then 3.5 percent down and credit scores less then 700 or debt to income ratios are high.