St. Louis Conventional Loans
A St. Louis conventional home loan is a mortgage that is not insured by the federal government that usually offer lower rates and better flexibility. They’re popular with borrowers who have a good credit score, a stable job with steady income, who can afford a down payment, and people who are financially stable overall.
Low down payment conventional loans are available with highly competitive rates and a simple approval process. The conventional loan experts at Midwest BankCentre will clearly explain your options and help you choose the right loan for your unique financial situation.
Advantages of conventional loans from Midwest BankCentre include:
- Simple application process
- Many options to choose from with flexible terms making it easier to match your current situation and goals
- Available for almost all types of properties, from single- and multi-family homes to condominiums and manufactured homes
- If you have at least 20% to put down on a purchase, or at least 20% equity when refinancing, you are not required to pay mortgage insurance
- Conventional loans offer lower interest rates for borrowers with good credit
Types of Conventional Loans
St. Louis conventional loans encompass two types of loans: Fixed Rate and Adjustable Rate Mortgages. These loans offer unique qualifications and terms that allow borrowers to achieve the dream of home ownership.
- Fixed-rate loans have an interest rate that does not change for the life of the loan and protects you against rising rates. You have the option of selecting a 10, 15, 20, 25 and 30-year term. This type of conventional loan is most commonly sought by borrowers who value consistent payments and who plan to live in their home for a longer period of time.
- ARM loans have an up-front fixed rate period longer than one year, typically between 5 and 10 years. During this time, the interest rate and monthly payments are even lower than a fixed-rate mortgage. However, after the initial period, your rate can change or adjust, usually higher, along with your monthly payments. Adjustable mortgage rates are ideal for people who don’t plan on staying in their home past the time when the interest rate will change, usually after 5-, 7- or 10-year terms.
Apply For A St. Louis Conventional Loan
Buying a home is one of the largest investments you will make during your lifetime. When you apply for a St. Louis conventional loan, you want to partner with a lender you can trust. With 18 branch locations conveniently located throughout the St. Louis region, our lenders are uniquely familiar with the local housing market and will help you make the best financial decision for yourself and your family.