Depending on who you talk to this can mean so many different things. The true definition of a conventional loan is a loan that can be purchased by Fannie Mae or Freddie Mac. For either of these, to want to buy the loan it must meet certain criteria. The biggest issue we run into as investors with Fannie and Freddie is the number of properties they will allow us to have. The maximum number of financed properties you can have to be considered conventional is ten, but it gets very difficult after just four. This INCLUDES your primary home. Don’t think you qualify?
First Capital Trusts has relationships with conventional lenders that we could recommend but we do not provide conventional loans.