Current conventional guidelines, updated from one source.
Treat these as the program’s fixed points rather than an offer: the minimum down payment for a first-time buyer and for everyone else, the credit floor behind these pages, the leverage at which mortgage insurance begins and the points at which it ends, and the ratio an automated approval allows.
First-time buyer; 5% standard; 97% loan-to-value at the top
3% down is the first-time buyer’s entry point and 5% the standard one, both on a one-unit principal residence; second homes, two- to four-unit homes, and investment properties carry their own leverage limits, listed in the table below.
Priced on the score; no agency minimum with an automated approval
620 is the working floor, a wholesale overlay rather than an agency rule, since Fannie Mae requires no minimum score for a loan the automated system approves and 620 only on a manual fixed-rate file. Above the floor, each step up in score lowers the cost of the loan and of the insurance.
Required above 80% LTV; removed at 80% by request, 78% automatically
Private mortgage insurance applies above 80% loan-to-value. Fannie Mae’s 2022 figures put the annual cost in a range of 0.58%–1.86%, depending on the score and the leverage. It ends by request at 80% of the original value, automatically at 78%, and no later than the midpoint of the term.
With an automated approval; 36% to 45% on a manual file
The total ratio runs to 50% with an automated approval, with the finding itself deciding how much of that room a particular file gets; manual files are read at 36%, or 45% with the matrix’s credit and reserve criteria met.
| Purpose | Occupancy and program | Maximum LTV |
|---|---|---|
| Purchase | One-unit principal residence, first-time buyer (fixed rate) | 97% |
| Purchase | One-unit principal residence, standard | 95% |
| Purchase | HomeReady / Home Possible (income limits apply) | 97% |
| Purchase | Two- to four-unit principal residence | 95% |
| Purchase | Second home | 90% |
| Purchase | Investment property, one unit | 85% |
| Purchase | Investment property, two to four units | 75% |
| Refinance | Limited cash-out (rate-and-term), one-unit principal residence | 95% |
| Refinance | Cash-out, one-unit principal residence | 80% |
| Refinance | Cash-out, two to four units, second home or investment | 75% |
| Combined LTV | Maximum contribution |
|---|---|
| above 90 percent | 3% of the sales price |
| 75.01 to 90 percent | 6% of the sales price |
| 75 percent or less | 9% of the sales price |
| investment property (any) | 2% of the sales price |
| Event | Waiting period |
|---|---|
| Chapter 7 or 11 bankruptcy | four years from discharge or dismissal (two years with documented extenuating circumstances) |
| Chapter 13 bankruptcy | two years from discharge; four years from dismissal (two with extenuating circumstances) |
| Multiple bankruptcy filings | five years when more than one filing within the past seven years |
| Foreclosure | seven years (three with extenuating circumstances, then limited to a principal residence or second home at 90 percent LTV, purchase or limited cash-out) |
| Deed-in-lieu, short sale or mortgage charge-off | four years (two with extenuating circumstances) |
Mortgage insurance: Fannie Mae reports that private mortgage insurance typically ranged from 0.58%–1.86% of the loan amount a year; the premium on a specific loan is priced by the insurer on the score, the leverage, and the coverage, and is never quoted here. Gifts from relatives may fund the entire down payment on a one-unit principal residence. HomeReady and Home Possible lend to 97% with income at or below 80% of the area median; HomeOne lends to the same leverage with a first-time buyer and no income limit.
Current conventional snapshot · updated October 3, 2026 · principal residences occupied within sixty days, second homes, and one- to four-unit investment properties · conforming limits apply by county and are confirmed by a Lendmire loan officer · above the limit, see the jumbo program · no prepayment penalty · Lendmire is a broker, never the lender.
This page describes program parameters, not an offer. The down payment minimums, the credit floor, the insurance thresholds, and the ratios are agency guidelines and lender overlays, subject to change without notice and to full underwriting; the appraisal, the credit report, the property, the occupancy, and the conforming limit decide every file. Lendmire is a broker, not a lender. Licensed in sixteen states for consumer mortgages. NMLS #2371349.
What a conventional loan is — and how the file is qualified.
The difference between a conventional loan and a government loan is who stands behind it. No agency insures a conforming loan; a private insurer covers the top slice above the threshold, and the agencies buy the loan on their rules. That structure explains each of the four pieces below for a Massanutten buyer.
For the program overview, see Lendmire’s conventional loan program, or the statewide guide at Conventional Loans in Virginia; for the mortgage insurance cancellation rules, see the CFPB.
Leverage by occupancy and buyer
The agencies lend most on a home the borrower lives in and less as the occupancy changes: a one-unit principal residence reaches the top leverage, with the first-time buyer’s minimum the lowest down payment in the program; two- to four-unit homes, second homes, and investment properties step down from there, as the table in the snapshot shows for a Massanutten buyer.
Credit scores and automated underwriting
Conventional credit is priced more than it is gated. The floor in the snapshot is the lowest score the lanes accept, and above the floor the score sets the loan-level price adjustments and the mortgage insurance premium. A Massanutten buyer with a stronger score pays less on both lines.
Mortgage insurance that cancels
Insurance structures vary: borrower-paid monthly is the default, and lender-paid, single-premium, and split-premium versions exist, each built into the loan differently. The published typical range in the snapshot is Fannie Mae’s, and the actual premium for a Massanutten file comes from the insurer at lock, never from this page.
Ratios, reserves, and the DU finding
The automated finding is the hinge of a conventional file: it reads the income, the assets, the credit, and the property, allows a total debt ratio up to the automated maximum, and names the reserves the file must show. A Massanutten underwriter then verifies what the finding assumed.
The calculator runs this on a Massanutten scenario and adds the piece most calculators skip: the month on the amortization schedule when the balance reaches the request and automatic-termination thresholds, so the payment after the insurance ends is visible beside the payment before.
Where Massanutten buyers borrow — and how a conforming loan fits.
Start with the market, then the file. The Massanutten figures below set the backdrop for a conventional purchase: who owns, what homes are worth on the latest estimate, and what households earn, which together decide what a first-time buyer’s down payment and payment look like locally.
Market context only. Read the figures as ranges, not predictions. The lender appraises one home, documents one income, and lets the automated system read one credit file.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Massanutten neighborhoods, distinct conventional files.
A Massanutten condominium, a decades-old family house, and a second home are three different conventional files: different project reviews, different leverage, different reserves. The six submarkets below show the range.
Workforce neighborhoods
The year-round Massanutten workforce is the program’s everyday constituency: a small down payment that may be a gift, insurance that ends on schedule, and a payment the ratio carries. These neighborhoods are where the program fits the market best. Median household income in Massanutten sits near $108,207 on the latest Census estimate.
Higher-value homes
A high-value Massanutten home can still be a conforming loan when the loan amount fits under the county limit; above it, the jumbo program takes the file with its own leverage, reserves, and appraisal rules. On a one-unit principal residence at Massanutten’s median value, the first-time buyer’s minimum down payment comes to about $11,900 and the standard minimum to about $19,800 — before closing costs, and before the mortgage insurance that comes with either; a second home, a multi-unit home, or a rental starts higher, as the leverage table shows.
Second homes and vacation condominiums
The second-home purchase is the resort market’s conventional specialty: more down than a principal residence, part of it from the buyer’s own funds, reserves for both properties, and an occupancy the buyer must actually keep. Roughly 882 Massanutten households own their homes on the latest Census estimate — 93% of all households, the pool a conventional purchase joins.
Homes bought for their setting
Homes bought for their setting in Massanutten are eligible as principal residences or second homes at their own leverage; the appraisal, with its thinner set of comparable sales, and the flood determination are the two steps that take longer. The median owner-occupied home value in Massanutten runs near $396,900 on the latest Census estimate.
Condominium projects
A Massanutten condominium is a conventional purchase only in a warrantable project, and resort projects with heavy rental use often are not. The lender collects the association’s documents before the appraisal; a project that fails goes to a portfolio lender. Massanutten is home to about 2.3K people.
Year-round primary residences
A year-round Massanutten home is a conventional purchase like any other: a down payment from the minimum up, insurance while the leverage is above the threshold, a payment the ratio carries, and the usual appraisal on comparable sales. About 6.7% of Massanutten’s households rent — roughly 63 renter households on the latest Census estimate.
What the program accepts is the same everywhere in Massanutten: houses, warrantable condominiums, planned developments, manufactured homes that meet the agencies’ rules, two- to four-unit homes, second homes, and investment property, each at its own leverage. What it declines is the non-warrantable project and the loan above the conforming limit, which belong to other programs.
Four ways Massanutten buyers put a conforming loan to work.
A good use of a conventional loan is one its shape fits: a decent score, a down payment of any size from the minimum up, an occupancy the agencies allow, and a loan inside the conforming limit. Four common Massanutten uses follow.
Buy with twenty percent down and no insurance
A Massanutten buyer with twenty percent down gets the conventional loan’s cleanest form: no mortgage insurance, loan-level adjustments at the best tier the score allows, and a payment of principal, interest, and escrows alone. Second homes and investment property are priced from the same structure.
Refinance or take cash out
Refinancing on a conventional loan follows the same leverage table as buying: rate-and-term to the higher limit, cash-out to the lower one. A Massanutten owner who has carried mortgage insurance may also use the refinance to leave it behind once the new loan sits at or below the threshold.
Buy a first home at the first-time-buyer minimum
The first purchase on a conventional loan starts at the first-time buyer’s minimum in the snapshot, with the whole amount allowed as a family gift. A Massanutten buyer with a solid score may pay less each month than on FHA because the insurance is priced on the score and ends; the comparison is run on the actual numbers.
Buy a condominium in a warrantable project
A Massanutten condominium is a conventional purchase when the project passes the agencies’ review: owner-occupancy mix, budget and reserves, litigation, commercial space, and ownership concentration. The dues enter the ratio, and the leverage follows the occupancy as it would on a house.
Estimate the payment on a Massanutten price before requesting a quote.
The program’s own math on your Massanutten inputs: price less the down payment, amortized at the benchmark, with the insurance estimate added while the leverage is above the threshold and the escrows added throughout. The actual rate, premium, payment, and costs come in writing from a licensed loan officer.
Massanutten conventional payment estimate
Use the Massanutten defaults as a starting point and change the price, the down payment, the buyer type, the term, the insurance estimate, and the escrows to fit.
Editable benchmark: 7.28% as of October 1, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not a conventional loan quote.
Estimate seeded at the low end of Fannie Mae’s published range (0.58%–1.86% a year); the insurer prices the actual premium on the score and the leverage. Applies only above 80% loan-to-value.
Illustrative starting assumptions: a $395,000 price near Massanutten’s median owner-occupied home value, the first-time buyer’s minimum down payment, a thirty-year term at the current Freddie Mac benchmark, mortgage insurance at the low end of Fannie Mae’s published range, property taxes and insurance estimated for Virginia (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not a conventional loan quote; your rate is set by the lender at lock. The mortgage insurance figure is an editable estimate seeded from Fannie Mae’s published typical range, not a premium quote; the insurer prices the actual premium, and the cancellation month assumes scheduled payments with no extra principal and no change in value. Taxes, insurance and dues are editable estimates; closing costs are not included. Conforming loan limits apply by county. Licensed in sixteen states for consumer mortgages.
Same buyer, three very different closings.
Choosing among conventional, FHA, and VA in Massanutten is really choosing an insurance structure and a credit standard at the same time. Each is laid out below with the buyer it fits.
Conventional, FHA, or VA.
Conventional fits the Massanutten buyer with a solid score: the premium is smaller than FHA’s for strong credit and it ends, the monthly structure carries no upfront premium, and twenty percent down removes insurance altogether. A modest score or a thin file is where FHA competes.
Where conventional prices the score, FHA prices by schedule. FHA fits the buyer whose score would be priced heavily on a conventional loan, or who needs the room FHA’s ratio tiers allow; it rarely wins for a Massanutten buyer with strong credit and a down payment above the minimum. See Lendmire’s FHA loan program.
A Massanutten buyer with VA eligibility and full entitlement rarely needs a conventional loan for a principal residence: nothing down, no insurance, and residual-income underwriting. Conventional is the route for that same veteran’s second home or investment property, which VA does not finance. See Lendmire’s VA loan program.
The decision is rarely close once the profile is known. Conventional tends to win for a strong score and for every non-primary occupancy, FHA for a modest score, and VA for nearly any eligible principal residence. The comparison is run on the actual numbers, in writing. Above the conforming limit, see the jumbo loan program.
What to prepare for a Massanutten scenario review.
Gather these before a Massanutten review: the ordinary mortgage documents, plus the pieces that settle the first-time-buyer question and the occupancy.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the transaction, the property, the automated underwriting finding, and the income picture. Nothing here is legal or tax advice.
Local details that can change the loan.
When a Massanutten conventional file surprises someone, the cause is usually one of these: a premium higher than expected, a score that priced differently than hoped, an appraisal under the price, a project that failed review, or a loan amount over the conforming limit.
Use these checks to keep the Massanutten file clean and fundable.
Before asking for a quote, know three answers: how much insurance the leverage carries and for how long, what the score does to the price, and whether the property and the loan amount fit the conforming program.
- Plan the insurance: twenty percent down carries no insurance at all.
- Confirm the score: the lender’s report sets the decision score; multiple borrowers use the average of the median scores.
- Mind the appraisal: a short value is paid in cash, renegotiated, or released under the contingency.
Mortgage insurance: how much, and until when
Cancellation on request needs a good payment history, no subordinate liens, and no decline in value; automatic termination needs only that the loan be current. A Massanutten owner whose home has gained value may also ask the servicer to recognize the current value under its own rules, which is a servicer decision rather than a program right.
The score sets the cost
The score does two jobs on a Massanutten file: it feeds the automated assessment alongside the rest of the credit file, and it sets the cost of the loan and the insurance. A buyer close to a cost tier sometimes gains more from a short wait and a paid-down balance than from any other change.
The appraisal and value acceptance
When the value comes in under the contract price on a Massanutten file, the loan is sized on the lower figure: the buyer brings the difference, the price is renegotiated, or the contract is released under its appraisal contingency. Condition findings are rarer than on government loans but still appear on older homes.
Occupancy and its leverage
Each occupancy has its own leverage limit and loan-level adjustments: a principal residence occupied within sixty days of closing reaches the top of the table, a second home is lower, an investment property lower still. A Massanutten buyer who states one occupancy and uses another has misrepresented the loan.
Second homes, rentals, and financed-property limits
Of the three programs compared on this page, the conventional loan is the one that reaches a Massanutten second home or rental, and it does so with conditions: lower leverage, deeper reserves, adjustments for the occupancy, and a limit on the number of financed properties one borrower may carry.
From a Massanutten pre-approval to keys in hand.
Four steps: the pre-approval, the appraisal, the underwriting, and the closing. The Massanutten version of each follows.
Pre-approval
Start with the score, the income, the down payment, and the occupancy. A Lendmire loan officer runs the automated system, confirms the leverage and the insurance for the down payment chosen, checks the loan against the conforming limit, compares the structure with FHA and VA on the same numbers, and provides the terms in writing.
Contract and appraisal
The appraisal is a valuation first and a condition report second on a conventional file; a short value re-sizes the loan, and the Massanutten contract is adjusted or released under its contingency. Where the system offers value acceptance, the step collapses to the system’s figure.
Underwriting
Underwriting on a Massanutten conventional file verifies the finding: the documents behind income and assets, the source of the down payment, the project review, and the insurance commitment for the leverage. Conditions are cleared and the approval is issued with its terms.
Closing
At closing the loan funds at the chosen leverage, mortgage insurance starts with the first payment if the loan is above the threshold, and escrows for taxes and insurance are set up. A Massanutten buyer signs the note and security instrument, occupies the home within the occupancy window, and the agency buys the loan.
A brokerage that prices the whole market.
The case for a brokerage on a conventional loan is candor with numbers: the same file priced across programs, the insurance premium and its cancellation month stated outright, the leverage checked against the occupancy, and the terms in writing.
Several programs, one set of numbers
A lender with one rate sheet sells that sheet; a brokerage with several can say which fits. For a Massanutten buyer with a strong score that is usually a conventional loan on the program whose cost is lowest for that file; for a modest score it may be FHA, and the arithmetic decides.
The insurance explained before the offer
The insurance is the program’s cost and the cancellation rules are its advantage, and Lendmire explains both first rather than last: how much the premium is, which structure fits, and when it ends for a Massanutten buyer at the price in hand.
Licensed, consumer-purpose, in writing
What this page shows are the agencies’ parameters and the wholesale overlays; what a specific Massanutten loan gets is a written set of terms from a licensed loan officer after the review. Lendmire is a broker, never the lender.
Trusted by buyers & families alike.
Massanutten conventional loan FAQs
Plain answers to the questions Massanutten buyers ask most about conventional loans, in the order they usually ask them.
What is a conventional loan, and who is it for?
Conventional means conforming: a loan inside the conforming limit, qualified by an automated underwriting system against the agencies’ rules. A Massanutten buyer applies through a lender or broker, the lender follows the guides, and the agency buys the loan.
How much do I need to put down on a conventional loan in Massanutten?
Less than most people expect on a principal residence, and it can be a gift from family. The trade for a small down payment is mortgage insurance, which cancels as the balance falls; the calculator shows the Massanutten payment with it and without it.
What credit score do I need for a conventional loan?
The practical answer is the floor in the snapshot, and the useful answer is that every tier above it lowers the cost. A Massanutten buyer with a modest score should run FHA beside conventional, because FHA prices its insurance by schedule rather than by score.
How does private mortgage insurance work, and when does it end?
Three dates matter: the month the balance reaches the request threshold, when the borrower can ask the servicer to drop the premium with a good payment history; the month it reaches the termination threshold, when the servicer must drop it; and the midpoint of the term, the final backstop. Twenty percent down means none of this applies.
What is the conforming loan limit in Massanutten?
Conforming limits are set each year by the FHFA, by county and by unit count, with higher limits in high-cost areas, which is why this page does not quote a figure. A Lendmire loan officer confirms the current limit for the county where you are buying; a loan above it needs a larger down payment to fit under the limit or moves to the jumbo program.
Can I get a conventional loan after a bankruptcy or foreclosure?
The agencies season credit events rather than barring them, with the periods shown in the snapshot. Gather the discharge, dismissal, or transfer dates before the review, because they decide whether the file can be written now.
Can I take cash out with a conventional refinance?
Yes, at the leverage in the snapshot for the occupancy, after the seasoning period. The cash-out loan carries its own loan-level adjustments, and the loan-to-value decides whether mortgage insurance applies to the new loan.
What happens after my Massanutten offer is accepted?
Your Massanutten contract goes to the lender, the appraisal is ordered or waived, and underwriting follows. The usual detours are a value under the price or a condition on an older home; a loan officer keeps the timeline honest.
What does the appraisal check on a conventional loan?
Value against the contract price, and condition against the lender’s standard of safe, sound, and marketable. Older Massanutten homes draw condition notes more often; most are settled before closing.
Is a conventional loan assumable?
Rarely. The fixed-rate conforming loan cannot be assumed; a few ARMs can. For a Massanutten buyer who wants an assumable loan, FHA and VA are the programs that offer one.
A Massanutten conventional loan sized to the price, the score, and the leverage.
Ask for a Massanutten scenario review to confirm the leverage, the insurance and its exit, and the loan the program supports. Lendmire is a broker licensed in sixteen states for consumer mortgages and is never the lender.
This guide covers Massanutten — for the statewide guidelines, markets, and scenarios, see Conventional Loans in Virginia, part of Lendmire’s conventional loan program.
Nearby markets in Virginia: Harrisonburg · Luray · Staunton · Charlottesville · Stuarts Draft · Wintergreen · Winchester · Lynchburg
Related programs: FHA Loans · Jumbo Loans · Refinance Loans