Which Loan Program Is Right for You?
Every major mortgage product explained in plain English. Compare requirements, find your fit, and get pre-approved.
Side-by-Side Comparison
| Requirement | Conventional | FHA | VA | USDA |
|---|---|---|---|---|
| Min Credit Score | 620 | 580 (3.5% dn) | No VA min | No min (640+) |
| Min Down Payment | 3% | 3.5% | 0% | 0% |
| Max DTI | 45-50% | 43-57% | No max | 41-46% |
| Mortgage Insurance | PMI to 20% | MIP for life | None (fee) | Guarantee fee |
| Property Types | 1-4 units, condos | 1-4 units, condos | 1-4 units | Single-family |
| Occupancy | Primary/2nd/Invest | Primary only | Primary only | Primary only |
| Income Limits | None | None | None | 115% AMI |
Conventional (Fannie Mae / Freddie Mac)
620
Min Credit
3%
Min Down
45-50%
Max DTI
Primary, 2nd home, investment
Occupancy
Best for: Good credit, some savings
Key Advantages
- No upfront mortgage insurance fee
- PMI cancels at 20% equity
- Allows investment properties
- Higher loan limits available
- No income limits
Watch Out For
- PMI costs until 20% equity
- Higher credit score requirements
- 5% minimum borrower contribution from own funds
FHA (Federal Housing Administration)
580
Min Credit
3.5%
Min Down
43-57%
Max DTI
Primary only
Occupancy
Best for: Lower credit, low down payment
Key Advantages
- Low 3.5% down payment
- Flexible credit requirements
- 100% of down payment can be a gift
- Best for first-time buyers
Watch Out For
- MIP for the life of the loan
- Primary residence only
- Lower loan limits in some areas
VA (Veterans Affairs)
No
Min Credit
0%
Min Down
No max (41%+ scrutiny)
Max DTI
Primary only
Occupancy
Best for: Veterans & active military
Key Advantages
- Zero down payment
- No mortgage insurance
- Competitive rates
- No prepayment penalty
Watch Out For
- VA funding fee required
- Primary residence only
- Certificate of Eligibility needed
USDA (Rural Development)
No
Min Credit
0%
Min Down
41-46%
Max DTI
Primary only
Occupancy
Best for: Rural property buyers
Key Advantages
- Zero down payment
- Lower guarantee fee vs PMI
- Competitive rates
- No reserves required
Watch Out For
- Geographic restrictions (rural areas)
- Income limits (115% of area median)
- Single-family homes only
Find Your Best Loan Program
Answer a few questions and see which programs fit your situation.
You are on step 3 of 4 · Qualify
You've seen how the loan programs differ — Conventional, FHA, VA, USDA, Jumbo — and who each one fits.
Next up: The lender comes later.
Keep the momentum. Step 4 · Connect picks up exactly where this page leaves off — still free, still no credit pull, still no sales call.