Hawaii Conforming Mortgages
The federal government outlines specific requirements which must be met in order for a loan to be considered conforming. Offered to low- to moderate- income families by the federal agencies Freddie Mac and Fannie Mae, conforming loan guidelines specify loan maximum amounts, documentation requirements which are minimal, and the maximum debt-to-income ratio allowed borrowers. When a loan exceeds the maximum amount, it’s called a Jumbo loan. Both Fannie Mae and Freddie Mac provide funds to private lenders; however these funds can only be used for conforming mortgage loans. A conforming mortgage usually is less costly than a conforming loan.
