Find the Right
Loan Program for You
From first-time buyers to seasoned investors, from veterans to the self-employed, Take The Rate has a mortgage for every situation. No cookie-cutter solutions.
Conventional Home Loans, Great Rates for Qualified Buyers
A conventional loan is the most common type of mortgage. It's not backed by the government, which means it typically offers the most flexibility in loan amounts, property types, and down payment options for buyers with solid credit.
Who Is It Best For?
Buyers with a 620+ credit score (740+ for the best rates) and stable, documentable income. Great for buyers putting 20%+ down to avoid PMI and for those buying primary residences, second homes, or investment properties.
Down Payment Requirements
Conventional loans allow as little as 3% down for first-time buyers and 5% for repeat buyers. However, putting less than 20% down typically requires Private Mortgage Insurance (PMI), which adds to your monthly payment. PMI can be removed once you reach 20% equity.
Loan Limits (2025 Conforming)
For 2025, the conforming loan limit for single-family homes is $806,500 in most areas, and higher in high-cost markets like California and parts of the Pacific Northwest. Loans above this limit are called jumbo loans and carry different requirements.
Conventional vs FHA: Which Is Better?
If you have a 620 to 679 credit score, FHA may be better due to lower rate premiums. If you have 700+ credit and 20% down, conventional is almost always better because there's no mortgage insurance premium (MIP) for the life of the loan. Take The Rate will compare both options for your specific situation.
Advantages
- No upfront mortgage insurance premium
- PMI cancels when you reach 20% equity
- More flexibility in property types
- Available for primary, second home, investment
- Higher loan limits than government loans
Considerations
- 620+ credit score required
- Higher rates with less than 20% down
- PMI required with less than 20% down
- Full income documentation required
- Stricter underwriting than FHA
Conventional Loan at a Glance
Full guide: FHA Loans, 3.5% Down, Real-World Credit →
FHA Loans, The #1 Choice for First-Time Homebuyers
FHA loans are government-backed mortgages insured by the Federal Housing Administration. They're specifically designed to help first-time homebuyers, buyers with lower credit scores, and buyers without large down payments achieve homeownership.
Who Is It Best For?
First-time homebuyers, buyers with credit scores between 580 to 679, buyers with limited savings for down payment, and anyone who has had past credit challenges. FHA is one of the most accessible mortgage programs available in the United States.
Credit Score Requirements
580+ credit score qualifies for 3.5% down payment, the minimum. 500 to 579 credit score still qualifies but requires 10% down payment. Below 500 does not qualify for FHA. These thresholds make FHA the most accessible loan for borrowers rebuilding their credit.
FHA Mortgage Insurance (MIP)
FHA loans require Mortgage Insurance Premium (MIP): an upfront premium of 1.75% of the loan amount (can be rolled into the loan) and an annual MIP of 0.55%-1.05% added to your monthly payment. With less than 10% down, MIP lasts for the life of the loan, a key consideration compared to conventional PMI which can be removed.
FHA Loan Limits (2025)
FHA loan limits vary by county. For 2025, the standard FHA limit for a single-family home is $524,225 in most areas, rising to $1,209,750 in high-cost markets. California, Oregon, and other high-cost states often have significantly higher FHA limits. Contact Take The Rate for your county's specific limit.
Advantages
- 580+ credit score with 3.5% down
- More forgiving of past credit issues
- Down payment can be a gift
- Competitive interest rates
- Available in all 10 states we serve
Considerations
- MIP lasts the life of the loan (under 10% down)
- Loan limits lower than conventional
- Property must meet FHA standards
- Higher total cost vs. conventional for strong credit
- Owner-occupied only (no investment properties)
FHA Loan at a Glance
Full guide: VA Loans, $0 Down, No PMI →
VA Loans, The Best Mortgage Benefit You've Earned
If you've served in the U.S. military, a VA loan is almost always the best mortgage available to you. Zero down payment, no PMI, competitive rates, and limited closing costs. Take The Rate specializes in helping veterans maximize this powerful benefit.
Who Is Eligible for a VA Loan?
VA loans are available to: Veterans with honorable discharge, Active-duty service members (90+ days), National Guard and Reserve members (6+ years or 90 days active), Surviving spouses of service members who died in the line of duty. If you're unsure about your eligibility, Take The Rate will obtain your Certificate of Eligibility (COE) for you.
The Key Benefits of VA Loans
Zero down payment required, buy a home with no money down. No private mortgage insurance (PMI) ever. Competitive interest rates often lower than conventional loans. Limited closing costs, the VA restricts what lenders can charge. No prepayment penalty. Can be used multiple times as long as entitlement is restored.
VA Funding Fee
VA loans require a one-time VA funding fee instead of monthly PMI. For first-time use with 0% down, the fee is 2.15% of the loan amount. For subsequent use, it's 3.3%. Veterans with service-connected disabilities are exempt from the funding fee entirely. The fee can be rolled into the loan amount.
VA Loan Limits
As of 2020, VA loans have no official loan limit for borrowers with full entitlement, meaning you can borrow as much as the lender will approve with no down payment. In high-cost counties, this is especially powerful. Veterans with remaining entitlement (from a prior VA loan) may face county-based limits.
Advantages
- $0 down payment required
- No private mortgage insurance (PMI)
- Typically lowest rates available
- No loan limits for full entitlement
- Disability exemption from funding fee
Considerations
- Must meet military service requirements
- VA funding fee (waived for disabled vets)
- Primary residence only
- Property must meet VA minimum standards
- COE (eligibility certificate) required
VA Loan at a Glance
Full guide: Bank Statement Loans for the Self-Employed →
Bank Statement Loans, The Self-Employed Mortgage Solution
If you're self-employed, a business owner, freelancer, or contractor, you already know the problem: your tax returns show much lower income than you actually earn because of legitimate business deductions. Bank statement loans solve this, qualifying you on actual deposits, not taxable income.
How Bank Statement Loans Work
Instead of W-2s and tax returns, the lender reviews 12 to 24 months of your personal or business bank statements. They calculate your average monthly deposits and use that as your qualifying income. A business expense factor (usually 50% for business accounts) is applied to arrive at net income. This accurately reflects what most self-employed borrowers actually earn.
Who Qualifies for a Bank Statement Loan?
Self-employed borrowers (2+ years), business owners, sole proprietors, 1099 contractors, gig economy workers (Uber, DoorDash, Instacart), real estate professionals, consultants, and anyone with non-traditional income. You must be self-employed for at least 24 months and have consistent bank deposits to qualify.
Typical Requirements
12 or 24 months of personal or business bank statements. Self-employment for at least 2 years (verified with a business license or CPA letter). Minimum credit score typically 620 to 660. Down payment of 10 to 20% depending on loan amount. These loans are considered Non-QM (Non-Qualified Mortgages) and are not sold to Fannie Mae or Freddie Mac.
Advantages
- No tax returns or W-2s required
- Qualify on actual deposits, not taxable income
- Ideal for business owners with write-offs
- Available for purchase and refinance
- Primary, second home, and investment property
Considerations
- Higher interest rate than conventional loans
- Typically requires 10 to 20% down
- Must be self-employed 2+ years
- Consistent bank deposits required
- Not available through all lenders
Bank Statement Loan at a Glance
Full guide: DSCR Loans for Investors →
DSCR Loans, The Smart Way to Scale Your Rental Portfolio
DSCR (Debt Service Coverage Ratio) loans let real estate investors qualify for a mortgage based on the rental income the property produces, not the investor's personal income. No W-2s, no pay stubs, no tax returns. Just the numbers on the property.
How DSCR Is Calculated
DSCR = Gross Monthly Rent ÷ Monthly Mortgage Payment (PITIA). A DSCR of 1.0 means the rental income exactly covers the mortgage. A DSCR above 1.0 means the property cash flows positively. Most DSCR lenders require a minimum DSCR of 1.0 to 1.25, though some programs allow 0.75 DSCR for strong borrowers. Take The Rate has DSCR programs for a wide range of scenarios.
What Properties Qualify?
Single-family homes, condos, townhomes, 2 to 4 unit properties, and even short-term rentals (Airbnb, VRBO), many DSCR programs accept short-term rental income using AirDNA or comparable rental data. DSCR loans are for investment properties only, not primary residences.
No Limit on Number of Properties
Unlike conventional financing which typically limits borrowers to 10 financed properties, DSCR loans allow experienced investors to continue building their portfolios beyond that limit. Take The Rate has helped investors finance their 15th, 20th, and beyond investment properties using DSCR loans.
Advantages
- No personal income documentation
- No limit on number of financed properties
- Works for long-term and short-term rentals
- Close in the name of an LLC
- Scale your portfolio faster
Considerations
- Higher rate than conventional loans
- 20 to 25%+ down payment typically required
- Investment properties only
- Property must appraise at purchase price
- Higher reserve requirements
DSCR Loan at a Glance
Mortgage Refinancing, Lower Your Rate, Cut Your Payment, Access Equity
Refinancing replaces your existing mortgage with a new one, ideally at a lower interest rate, different loan term, or to access your home's equity. Take The Rate makes refinancing fast, simple, and transparent.
Rate & Term Refinance
Lower your interest rate without taking cash out. This is the most common type of refinance. If your current rate is 7.5% and you can refinance to 6.5%, you could save hundreds per month and tens of thousands over the life of the loan. Take The Rate calculates your break-even point so you know exactly when the refinance pays for itself.
Cash-Out Refinance
Borrow against your home's equity by refinancing for more than you currently owe. The difference comes to you in cash. Common uses: home improvements that increase value, debt consolidation (high-interest credit cards), college tuition, investment in another property, or a financial safety net. Rates on cash-out refis are slightly higher than rate-and-term.
When Does Refinancing Make Sense?
Refinancing is worth considering when: current rates are 0.5%+ below your existing rate, you plan to stay in the home long enough to recoup closing costs (break-even analysis), you want to shorten your loan term (e.g., from 30 to 15 years), you want to switch from an adjustable-rate to a fixed-rate mortgage, or you need to access equity for a major expense.
Advantages
- Lower monthly payment
- Reduce total interest paid
- Access home equity (cash-out)
- Shorten loan term
- Switch from ARM to fixed rate
Considerations
- Closing costs (typically 2 to 5% of loan)
- Break-even period to recoup costs
- Resets loan term if not careful
- Full qualification required (credit, income)
- Cash-out refis carry slightly higher rates
Refinance at a Glance
Compare All Loan Programs
Not sure which loan is right for you? This table compares every major program at a glance. We'll help you find the best fit.
| Loan Program | Min. Credit | Min. Down | Income Docs | Best For | Today's Rate* |
|---|---|---|---|---|---|
| Conventional 30-Year | 620+ | 3% | W-2 / Tax Returns | Strong-credit buyers | 6.250% |
| Conventional 15-Year | 620+ | 3% | W-2 / Tax Returns | Fast payoff / equity | 6.125% |
| FHA Loan | 580+ | 3.5% | W-2 / Tax Returns | First-time buyers | 5.500% |
| VA Loan | No min. | $0 | W-2 / Tax Returns | Veterans & Military | 5.500% |
| Bank Statement | 620+ | 10 to 20% | Bank Statements Only | Self-Employed | 6.625% |
| DSCR Loan | 620+ | 20 to 25% | None Required | Real Estate Investors | 7.250% |
| Cash-Out Refinance | 620+ | 20% equity | W-2 / Tax Returns | Access home equity | 7.000% |
*Pulled live from today's rate sheet, updated every morning. APRs and assumptions on the rates page. Your rate depends on credit, down payment, and property.
*Rates are sample rates for well-qualified borrowers and subject to change. Contact Take The Rate for your personalized quote.
Mortgage Loan Questions, Answered
The most important questions about choosing the right home loan.
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