Conventional Loans

Conventional mortgage loans are mortgages that are not covered by any government program of insurance or guarantee. Such loans may be eligible for purchase by the major secondary market agencies Fannie Mae and Freddie Mac which offer standardized underwriting guidelines for conforming loan amounts up to $417,000. These loans can carry fixed or variable (ARM) mortgage rates and a variety of repayment terms that can be tailored to your individual needs. Down payment requirements may be as little as 5%, although loans with less than 20% down require mortgage insurance. Generally, these loans do not have prepayment penalties. Gateway Funding is a market leader in providing low Nashville mortgage rates and is one of Nashville’s most comprehensive full-service mortgage companies.

The traditional fixed rate mortgage is the most common type of loan programs, where monthly principal and interest payments never change during the life of the loan. Fixed rate mortgages are available in terms ranging from 10 to 30 years and can be paid off at any time without penalty. This type of mortgage is structured, or "amortized" so that it will be completely paid off by the end of the loan term.