Qualification guide
Wondering whether you qualify for a conventional loan? Below is what lenders actually look at — and remember that guidelines are a starting point, not a wall. As a broker, CDL Mortgage works with lenders whose overlays differ, so a “no” from one bank is often a “yes” somewhere else.
Competitive conventional home loans for buyers and homeowners throughout California, Texas, Georgia, Tennessee, Oklahoma, and Idaho. As low as 3% down for qualified buyers, fixed and adjustable rates, and fast pre-approvals from licensed loan officers at CDL Mortgage.
Credit score — each program has a minimum score, and stronger credit improves both approval odds and pricing.
Income & employment — lenders verify stable, documentable income; self-employed borrowers have flexible-doc options.
Down payment / equity — requirements vary by program, from 0% down (VA, USDA) up to 20–25% for investor loans.
Debt-to-income ratio — your total monthly debts vs. gross income; most programs want this under roughly 43–50%.
Property standards — the home must meet the conventional loan program’s appraisal and condition guidelines.
Reserves — some programs want a few months of payments in savings after closing, especially for larger loans.
Requirements
General guidelines — final qualification depends on the lender, property, and your full financial profile.
Questions
Most conventional loans require a minimum credit score of 620, though the best rates typically go to borrowers with scores of 740 or higher. If your score is lower, an FHA loan may be a better fit — we’ll review your full profile and recommend the right program. Call (916) 624-0767 for a free assessment.
Qualified first-time buyers can put down as little as 3%, and most buyers put down between 5% and 20%. Putting down 20% lets you avoid private mortgage insurance (PMI). We’ll calculate the exact figure for your loan amount and price range.
Most conventional purchase loans close in 21 to 30 days once you’re under contract, and refinances often close faster. Getting fully underwritten pre-approval up front is the single biggest factor in a fast, on-time close.
Private mortgage insurance protects the lender when you put down less than 20%. On conventional loans it can typically be removed once you reach 20% equity, and it automatically terminates at 22% equity — unlike FHA mortgage insurance, which often lasts the life of the loan.
We offer both. Fixed-rate loans (15- and 30-year) keep the same payment for the life of the loan. Adjustable-rate mortgages (ARMs) start with a lower rate for an initial period. We’ll compare both against your timeline in the home.
About Us
CDL Mortgage Services Inc. is an independent, full-service mortgage company. Instead of pushing one bank’s products, we shop multiple wholesale lenders to secure the best loan at the best rate for every borrower.
Purchase, refinance, and home equity — all under one roof, focused on the best loans at the best rates.
Based at 6524 Lonetree Blvd, Rocklin, CA 95765 and licensed in California, Texas, Georgia, Tennessee, Oklahoma & Idaho.
Every file is handled start-to-finish by a licensed loan officer who knows your name and your goals.
Fully licensed and regulated, with award-winning lender partnerships and 35+ years serving borrowers.