Conventional Loans in Denver
Conventional Loans in Denver
Conforming and nonconforming conventional mortgage options for Denver-area primary homes, second homes and eligible investment properties.
Prepared by Elite Lending Group. Reviewed for mortgage accuracy by Dennie Friederichs, Founder and Mortgage Broker, Individual NMLS 2705443. Published August 23, 2026. Last reviewed August 23, 2026.
Who it is for
- Buyers with documented qualifying income and credit
- Borrowers purchasing a primary, second or eligible investment property
- Homeowners comparing mortgage-insurance and refinancing strategies
How it generally works
- Determine whether the loan is conforming or nonconforming
- Evaluate automated and lender underwriting requirements
- Verify income, assets, credit and property
- Compare pricing, mortgage insurance and structure across lenders
Important qualifications
- Acceptable credit and payment history
- Stable eligible income and manageable obligations
- Documented funds and reserves when required
- Property type, appraisal and occupancy eligibility
Potential advantages and disadvantages
Potential advantages
- Broad property and occupancy options
- Private mortgage insurance may be cancellable when legal and servicing requirements are met
- Many lenders and structures can be compared
Potential disadvantages
- Pricing can be sensitive to credit, equity, occupancy and property type
- Stricter guidelines may apply than some government-backed programs
- Condo and appraisal issues can affect eligibility
Common mistakes
- Assuming a large down payment is always required
- Comparing interest rate without mortgage insurance and fees
- Ignoring condo-project review
- Changing credit or assets before closing
Documents generally needed
- Income and employment records
- Asset and reserve statements
- Credit authorization and identification
- Purchase contract, insurance and property documents
A Denver-specific example
A Denver buyer comparing condos in Sloan’s Lake wants flexibility to remove mortgage insurance later. We evaluate conventional options, condo eligibility and total monthly cost rather than assuming the product with the lowest advertised rate is best.
Hypothetical educational example only; it is not a quote, approval, commitment or promise of qualification.
Frequently asked questions
What makes a loan conventional?
It is not insured or guaranteed by a federal housing agency.
What is a conforming loan?
A conventional loan that meets applicable Fannie Mae or Freddie Mac size and eligibility standards.
Is mortgage insurance always required?
No. It depends on the structure, equity and program.
Can conventional loans finance investment property?
Yes, under eligible programs with different pricing and reserve requirements.
Helpful primary resources
Types of conventional mortgage financing
| Type | General description | Key consideration |
|---|---|---|
| Conforming | Designed to meet applicable Fannie Mae or Freddie Mac eligibility and loan-limit rules | Automated underwriting, mortgage insurance and property rules apply. |
| High-balance conforming | Higher agency limits may apply in designated high-cost counties | The applicable limit depends on county and year. |
| Nonconforming or portfolio | Uses lender-specific guidelines outside standard agency eligibility | Documentation, pricing and reserves can differ materially. |
Down payment and PMI planning
Conventional financing does not always require a 20% down payment. Eligible programs may permit less, but private mortgage insurance, pricing adjustments and reserve requirements depend on the complete loan profile. Compare the cost of using less cash with the value of keeping liquidity after closing.
Also compare FHA loans, VA loans and jumbo financing when applicable.
Discuss this option with Dennie
Elite Lending Group can compare the programs available through 75+ lending sources and explain the documentation, costs and tradeoffs for your situation.
Important disclosures: Elite Lending Group is a Denver-based mortgage brokerage founded by Dennie Friederichs, NMLS 2705443, and powered by Independent Mortgage Brokers LLC (IMB), NMLS 2191655. Primary service areas are Colorado and Iowa.
This page is for general educational and marketing purposes and is not a commitment to lend, credit approval, financial, tax or legal advice. Program availability, guidelines, rates, fees, documentation and property requirements vary by lender and may change. All loans are subject to application, verification, underwriting, acceptable collateral and final approval. Equal Housing Opportunity.