Program Overview
Conventional & Government Loans — Full-Service Mortgage Solutions
While HQ Lending specializes in investment property financing, we are also a full-service mortgage broker offering the complete range of conventional, FHA, VA, and USDA qualified mortgage (QM) programs. Whether you're purchasing a primary residence, vacation home, or standard investment property with full income documentation, we can source competitive rates from our network of agency-approved lenders.
If you qualify under standard guidelines — documented W-2 or self-employment income, acceptable DTI, and strong credit — we can almost certainly beat the rate your bank or credit union quoted you.
Conventional Conforming (Fannie Mae / Freddie Mac)
Standard Conventional Loans
Loans up to the conforming limit ($766,550 in most areas; higher in designated high-cost markets). Available for primary residences, second homes, and investment properties. Down payments as low as 3% (primary) or 20–25% (investment). PMI required below 20% down on primary.
Jumbo Loans
Loan amounts above the conforming limit — typically $766,551 to $3M+. Stricter qualification requirements (720+ credit, 12+ months reserves, full income documentation), but competitive rates for strong borrowers. Available for primary, second home, and investment purposes.
Government-Backed Programs
FHA Loans — As Low as 3.5% Down
Government-insured loans for primary residences. Available with credit scores as low as 580 (3.5% down) or 500–579 (10% down). More flexible DTI requirements than conventional. Requires Mortgage Insurance Premium (MIP) for the life of the loan on most programs. Ideal for first-time buyers or those rebuilding credit.
VA Loans — 0% Down for Veterans
Available to eligible active-duty military, veterans, and surviving spouses. No down payment required (subject to VA loan limits and entitlement). No PMI. Competitive rates. Requires VA funding fee (can be financed into the loan). Primary residence only — but eligible on multi-family (2–4 units) if you occupy one unit.
USDA Loans — 0% Down in Eligible Areas
Available for properties in USDA-designated rural and suburban areas. No down payment required. Income limits apply (typically 115% of area median income). Primary residence only. Requires USDA guarantee fee. A powerful option for qualifying buyers in eligible zip codes.
Frequently Asked Questions
What's the difference between a conventional and an FHA loan?
Conventional loans are not government-backed and typically require higher credit scores (620+) and stronger debt-to-income ratios. PMI is required below 20% down but can be removed once you reach 20% equity. FHA loans are government-insured, allowing lower credit scores (580+) and down payments as low as 3.5%, but require Mortgage Insurance Premium (MIP) for the life of the loan on most programs — which can make them more expensive long-term.
Who qualifies for a VA loan?
VA loans are available to: active-duty military with 90+ days of continuous service; veterans with an honorable discharge; National Guard and Reserve members with 6+ years of service; surviving spouses of veterans who died in service or from a service-connected disability. Eligibility is confirmed through a Certificate of Eligibility (COE), which we can help you obtain.
Can I use a conventional loan for an investment property?
Yes — conventional loans (Fannie Mae/Freddie Mac) allow up to 10 financed properties per borrower. Investment property loans require 20–25% down and typically carry slightly higher rates than primary residence loans (an "investor add-on"). Rental income from the subject property can be used to offset the PITIA payment in your DTI calculation under Fannie/Freddie guidelines.
How does a jumbo loan differ from a conventional conforming loan?
A jumbo loan exceeds the conforming loan limit ($766,550 in most areas; up to $1,149,825 in high-cost markets). Jumbo loans are held by the lender (not sold to Fannie/Freddie), so guidelines vary by lender. Jumbo loans typically require higher credit scores (720+), larger down payments (10–20%), substantial reserves (12+ months PITIA), and full income documentation.
Should I choose a fixed or adjustable rate mortgage?
It depends on your timeline and risk tolerance. A 30-year fixed provides payment certainty for long-term holds — ideal if you plan to own the property for 7+ years. An ARM (Adjustable Rate Mortgage) — such as a 5/1 or 7/1 ARM — offers a lower initial rate fixed for 5–7 years before adjusting annually. ARMs can save significant money on shorter hold periods but carry rate risk after the fixed period ends. Our team can model both scenarios for your specific situation.