Why High Balance Conforming is Better than Jumbo

Why High Balance Conforming is Better than Jumbo

There are two types of conforming loans, conforming and high balance conforming. The vast majority of residential mortgages issued today are conforming loans and so-called because they conform to underwriting guidelines established by Fannie Mae and Freddie Mac. This is important to the housing industry because approving a loan using either Fannie or Freddie’s standards allows a lender to sell the loan into the secondary market. A mortgage company operates with a line of credit. […] Read more »