Conventional Loans in Florida
Competitive rates with as little as 3% down for qualified borrowers.
Conventional Loans in Florida — The Most Popular Mortgage in America
Conventional loans are the most common mortgage type in residential real estate lending. They’re not insured by a government agency like FHA or VA — instead, they follow guidelines set by Fannie Mae and Freddie Mac. For borrowers with good credit and a solid financial profile, conventional loans consistently offer the best rates, lowest costs, and most flexible terms available.
More than 75% of all home purchase mortgages in America are conventional loans. They’re the default choice for a reason — competitive pricing, no upfront funding fee, removable mortgage insurance, and availability for every property type.
Key Details
- Down payment as low as 3% for first-time buyers (Conventional 97 / HomeReady / Home Possible) or 5% for repeat buyers
- PMI required below 20% down — but unlike FHA, PMI can be removed once you reach 20% equity. No PMI at all with 20%+ down.
- Loan amounts up to $766,550 in most Florida counties (conforming limit). In Miami-Dade, Broward, and Palm Beach counties the limit is $1,149,825. Collier County: $1,000,000.
- Fixed-rate terms: 10, 15, 20, 25, or 30 years
- Adjustable-rate options (ARM): 5/1, 7/1, and 10/1 ARMs available
- Available for: Primary residences, second homes, and investment properties
- Minimum credit score: Typically 620 for primary, 640+ for investment
- Gift funds allowed for down payment from family members
- No upfront mortgage insurance premium (unlike FHA’s 1.75% UFMIP)
Conventional vs. FHA — Quick Comparison
| Feature | Conventional | FHA |
|---|---|---|
| Min. Down Payment | 3-5% | 3.5% |
| Mortgage Insurance | Removable at 80% LTV | Permanent (life of loan) |
| Upfront MI Fee | None | 1.75% of loan amount |
| Min. Credit Score | 620 | 580 |
| Property Types | Primary, 2nd home, investment | Primary only |
| Loan Limits (S. FL) | $1,149,825 | $621,000 |
Conforming Loan Limits by Florida County (2025-2026)
| Area | Conforming Limit |
|---|---|
| Miami-Dade, Broward, Palm Beach | $1,149,825 |
| Collier County | $1,000,000 |
| All other Florida counties | $766,550 |
Who It’s Best For
- Buyers with good credit (680+) who want the lowest rates and most options
- Anyone who wants to avoid permanent mortgage insurance
- Second home buyers and investment property buyers (FHA/VA don’t allow these)
- Buyers in high-cost areas like South Florida who need higher loan amounts
- Repeat buyers who don’t qualify for FHA first-time buyer programs
Can I Combine Conventional with Down Payment Assistance?
Yes. Many Florida DPA programs work with conventional loans, including HFA Preferred, HFA Advantage PLUS, and several county SHIP programs. Ask me which DPA programs pair with conventional financing in your county.
Nick Lazarevic | NMLS #386391 | 1st Capital Group as dba of GFL Capital Mortgage Inc | Company NMLS #64367 | Equal Housing Lender
Licensed Mortgage Loan Originator. All loans subject to credit approval. This is not a commitment to lend.
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