Conventional products are mortgage loans that are not part of specific government program. A conventional loan (aka conforming loan) adheres to the guidelines set by Fannie Mae and Freddie Mac.
Traditionally a 20% down payment is required for all conventional loans. However, LISA HOME MORTGAGE offers two conventional mortgage products “Home Ready” and “Home Possible”, which have low downpayment requirements, as low as 3%. Because of the lower downpayment, mortgage insurance (MI) will most likely be required.