11 Best Conventional Mortgage Lenders of 2025
See NerdWallet's top picks for the best conventional mortgage lenders, many of which offer 97% mortgage financing.
Last updated on February 3, 2025
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Written by
Lead Writer & Content StrategistEdited by
Managing EditorFact Checked
Fact Checked
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For home buyers with strong credit, solid income and at least a 3% down payment, a conventional mortgage may be the perfect fit. But which lender should you choose?
To help you shop, NerdWallet has picked some of the best conventional mortgage lenders in a variety of categories.
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Why trust NerdWallet
- 50+ mortgage lenders reviewed and rated by our team of experts.
- 40+ years of combined experience covering mortgages and financial topics.
- Objective, comprehensive star rating system assessing 120+ categories and 5,000+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Why trust NerdWallet
Why trust NerdWallet
- 50+ mortgage lenders reviewed and rated by our team of experts.
- 40+ years of combined experience covering mortgages and financial topics.
- Objective, comprehensive star rating system assessing 120+ categories and 5,000+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
11 Best Conventional Mortgage Lenders of 2025
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Lender | NerdWallet Rating | Min. credit score | Min. down payment | Learn more |
|---|---|---|---|---|
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
N/A | 5% | |||
N/A | 5% | |||
620 | 3% |
Rate: Best for fast preapproval
Min. credit score
620
Min. down payment
3%
- Why we like itRate boasts a streamlined application process, with full underwriting in as little as one business day — though for all its online conveniences, you'll still work with a human.Pros
- Fully underwritten mortgage approval in as little as one day for qualified borrowers.
- Generous selection of loans, including government-backed, interest-only, jumbo and renovation.
- Advertises a fixed-rate HELOC that can be funded in as few as five business days.
ConsRead full review- Some affordable loan options have income limits or other restrictions.
- Details of less common loan types aren't available on the lender's website.
- HELOC requires immediate, full withdrawal of funds, though there is an option to make additional draws.
Better: Best for digital experience
Min. credit score
620
Min. down payment
3%
- Why we like itOnline-only lender Better offers a range of mortgage types and a one-stop shopping experience, though some borrowers may be turned off by the lender’s lack of chat support or a mobile app.Pros
- Borrowers can apply, lock in a rate and receive a commitment letter within one day.
- Offers both HELOCs and home equity loans with a high borrowing limit of 90% CLTV.
- Offers mortgages for manufactured homes, as well as financing for self-employed borrowers.
ConsRead full review- No mobile app; customer service is by email or phone only.
- Borrower must provide contact information to see customized rates.
- Does not offer renovation or construction loans.
PNC Bank: Best for first-time home buyers
Min. credit score
620
Min. down payment
3%
- Why we like itPNC Bank has a variety of appealing mortgage options, including jumbo loans, programs for first-time home buyers and home equity lines of credit.Pros
- Low-down-payment loan options include FHA, VA, USDA and PNC Community Loan.
- Jumbo loans available with minimum down payments of 5%.
- Customizable mortgage rates are posted online.
ConsRead full review- Average mortgage rates are on the high side, according to the latest federal data.
- In-person service is not available in every state.
- You’ll have to supply personal data or account info to get answers by phone.
Flagstar: Best for traditional lending experience
Min. credit score
N/A
Min. down payment
5%
- Why we like itFlagstar Bank stands out for its range of accessible loans and programs, including loans with flexible requirements and down payment grant options. Its mortgage operations were acquired by Mr. Cooper in 2024.Pros
- Conventional loan terms extend to 40 years, which is unusually flexible.
- Offers options for high-balance mortgages.
- Offers specialized mortgages for professionals, such as doctors and lawyers, starting their careers.
- Reported average time to close (20-30 days) is faster than industry standard.
ConsRead full review- The lender’s mobile app is focused on banking, not mortgages.
- Conventional fixed-rate mortgages require a 5% minimum down payment, higher than some competitors.
Navy Federal: Best for active military and veterans
Min. down payment
5%
National / regional
National
- Why we like itNavy Federal is known for VA lending, but its flexible VA-like loan options truly stand out. You'll need a military connection to join the credit union.Pros
- Offers unique no-down-payment and no-mortgage-insurance loan options for military and civilian members.
- 24/7 customer service supports borrowers stationed overseas.
- Has both home equity loans and lines of credit.
ConsRead full review- Borrowers must join the credit union before applying for a mortgage, and all borrowers on the loan must be members for the loan to close.
- Does not offer FHA, renovation or construction loans.
Pennymac: Best for refinancing
Min. credit score
620
Min. down payment
3%
- Why we like itPennymac, known for its government loans, stands out for a transparent digital experience. Interest rates tend to be low, but origination fees may be a bit high.Pros
- Easy to personalize a quote and apply online.
- Can lock in a rate before you’re under contract, earlier than most lenders.
- Perks include a 1% interest rate buydown and “refinance later” cash bonus.
ConsRead full review- Origination fees are on the higher end, according to the latest federal data.
- Online chat is available only in the logged-in experience.
- No home equity lines of credit or renovation loans.
U.S. Bank: Best for overall mortgage experience
Min. credit score
N/A
Min. down payment
N/A
- Why we like itU.S. Bank stands out for online convenience and impressive mortgage options, from government-backed loans to boutique mortgages. Home improvement loans and borrower assistance are available.Pros
- Offers up to $17,500 in down payment and closing cost assistance.
- Wide variety of mortgage types.
- Experienced with construction-to-permanent and renovation loans.
ConsRead full review- Assistance programs limited to select cities and states.
- Online rate tool doesn’t customize by credit score.
State Employees' Credit Union: Best for North Carolina borrowers
Min. credit score
N/A
Min. down payment
0%
- Why we like itState Employees’ Credit Union in North Carolina is worth checking out for those in the Southeast who meet its narrow membership criteria — especially first-time home buyers eligible for generous grants and specialty loans. But it doesn’t offer government-backed mortgages.Pros
- Offers a zero-down mortgage without private mortgage insurance.
- Participates in multiple first-time buyer assistance programs.
- Low average mortgage rates, according to the latest federal data.
ConsRead full review- Credit union membership eligibility is limited.
- Loans only available in five states.
- Doesn’t offer government-backed mortgages.
First Federal Bank: Best for low average mortgage rates
Min. credit score
620
Min. down payment
3%
- Why we like itFirst Federal Bank stands out for its exceptionally low interest rates and its emphasis on government loans. Most likely to appeal to borrowers shopping for low rates and fees.Pros
- Strong experience in FHA and VA lending.
- Average mortgage rates are on the low side, according to the latest federal data.
- Minimum credit score requirement of 580 for some loans, which is lower than some competitors.
ConsRead full review- No mobile app.
- Home equity lending is not a priority.
- Does not offer renovation loans, but does offer construction loans.
Network Capital: Best for fast closings
Min. credit score
620
Min. down payment
3%
- Why we like itNetwork Capital stands out for its focus on refinancing, especially cash-out transactions — only 6% of Network Capital customers got a purchase mortgage last year. Most likely to appeal to borrowers looking to refinance their home loan.Pros
- Cash-out refinancing is an uncommon specialty, so Network Capital could appeal to that borrower.
- Offers HELOCs for homeowners who want to access their equity without refinancing.
ConsRead full review- Home buyers should know the lender doesn’t specialize in purchase loans.
- Borrowers must be contacted for a quote before completing an online application.
SoFi: Best for variety of repayment terms
Min. credit score
620
Min. down payment
3%
- Why we like itSoFi offers perks for existing customers, including a discount on closing costs and accessible customer support. The site primarily highlights conventional home loan offerings, so borrowers looking for other loan types may need to reach out directly for more details.Pros
- Interest rates are on the lower side, according to the latest federal data.
- Conventional loan borrowers can choose between a 10-, 15-, 20- or 30-year term.
- HELOC borrowers may access up to 90% of their home equity.
ConsRead full review- Sample mortgage interest rates are shown for conventional purchase and refinance loans, but not for other loan types.
- For customized mortgage rates, you have to provide your contact information.
- - Online details on some loan products are scant.
Qualifying for a conventional mortgage
Conventional mortgages typically conform to loan limits set by the Federal Housing Finance Agency, and aren’t guaranteed or insured by the federal government.
Qualifying for a conventional loan is generally harder than qualifying for FHA loans and other government home loans. In addition to a solid income and money for a down payment, you'll likely need a strong credit history.
More from NerdWallet
Last updated on February 3, 2025
Frequently asked questions
- Some lenders offer conventional mortgages with a down payment of as little as 3%. You’ll typically need to put down at least 20% to avoid private mortgage insurance, however.
- The credit score needed to buy a house with a conventional loan varies by lender, but 620 is typically the minimum. You’ll need a score of around 740 to get the best rates.
- Unlike conventional mortgages, FHA loans are guaranteed by the Federal Housing Administration. FHA mortgages have more relaxed income and credit score requirements than conventional mortgages, but they typically require a 3.5% down payment and mandatory mortgage insurance for the life of the loan. Compare FHA vs. conventional home loans to see which one fits your needs.
- The best conventional mortgage lenders offer the right combination of competitive rates, attractive loan terms and low closing costs. Finding a lender that excels at customer service and your preferred style of communication is also essential.
Methodology
The star ratings on this page reflect each lender's overall star ratings. Read more about how we determine those ratings.
The lenders on this page are chosen using this methodology:
NerdWallet reviewed more than 40 mortgage lenders, including the majority of the largest U.S. mortgage lenders by annual loan volume (measured among lenders with at least 1% market share), lenders with significant online search volume and those that specialize in serving various audiences across the country.
For inclusion on this roundup, lenders must offer conventional mortgage and refinance loans. The highest scoring lenders according to our home loans overall methodology are featured here.
NerdWallet solicits information from reviewed lenders on a recurring basis throughout the year. All lender-provided information is verified through lender websites and interviews. We also utilized 2023 HMDA data for origination volume, origination fee, average interest rate and share-of-product data.
NerdWallet's Best Conventional Mortgage Lenders of 2025
- Rate: Best for fast preapproval
- Better: Best for digital experience
- PNC Bank: Best for first-time home buyers
- Flagstar: Best for traditional lending experience
- Navy Federal: Best for active military and veterans
- Pennymac: Best for refinancing
- U.S. Bank: Best for overall mortgage experience
- State Employees' Credit Union: Best for North Carolina borrowers
- First Federal Bank: Best for low average mortgage rates
- Network Capital: Best for fast closings
- SoFi: Best for variety of repayment terms
