Home Purchase Loans
Find the right mortgage to make your homeownership dreams a reality. Competitive rates, flexible terms, and expert guidance from application to closing.
Quick Answer
A purchase loan (conventional mortgage) lets you buy a home with as little as 3% down. Fixed and adjustable-rate options available with terms from 10 to 30 years. Pre-approval typically takes 24 hours and locks in your rate for 60-90 days. Joshua Donion offers competitive rates and closes in as few as 21 days.
Your Path to Homeownership Starts Here
A purchase loan is the mortgage you use to buy a home. As your dedicated mortgage advisor, Joshua Donion will help you navigate the lending landscape to find a loan that fits your budget, timeline, and long-term financial goals. Whether you're a first-time buyer or purchasing your next property, there's a loan program designed for you.
Types of Purchase Loans
Every borrower's situation is unique. Here are the most common purchase loan programs available.
Conventional Loans
The most popular mortgage option for borrowers with good credit. Available with as little as 3% down and competitive interest rates. Private mortgage insurance (PMI) is required with less than 20% down but can be removed once you reach sufficient equity.
FHA Loans
Backed by the Federal Housing Administration, FHA loans are ideal for borrowers with lower credit scores or limited savings. Minimum 3.5% down payment with a credit score of 580 or higher. More flexible debt-to-income ratios than conventional options.
VA Loans
Exclusively for eligible veterans, active-duty service members, and surviving spouses. VA loans offer zero down payment, no private mortgage insurance, and competitive interest rates backed by the Department of Veterans Affairs.
USDA Loans
Designed for homebuyers in eligible rural and suburban areas. USDA loans offer zero down payment and reduced mortgage insurance costs. Income limits apply, making these loans ideal for low- to moderate-income borrowers.
Jumbo Loans
For homes that exceed conforming loan limits set by the FHFA. Jumbo loans finance high-value properties and typically require larger down payments, strong credit scores, and substantial reserves.
Adjustable-Rate Mortgages (ARMs)
Start with a lower fixed rate for an initial period (typically 5, 7, or 10 years), then adjust periodically based on market conditions. A smart choice if you plan to sell or refinance before the adjustable period begins.
Qualification Criteria
While requirements vary by loan type, here are the general factors lenders evaluate when approving a purchase loan.
Credit Score
Most conventional loans require a minimum 620 credit score. FHA loans accept scores as low as 580 (or 500 with 10% down). VA and USDA loans have no official minimum but most lenders prefer 620+.
Debt-to-Income Ratio (DTI)
Lenders typically look for a DTI of 43% or less, though some programs allow up to 50%. Your DTI is calculated by dividing your total monthly debt payments by your gross monthly income.
Down Payment
Down payment requirements range from 0% (VA and USDA) to 3% (conventional) to 3.5% (FHA). Putting 20% or more down eliminates the need for mortgage insurance on conventional loans.
Employment & Income
Stable employment history (typically two years) and verifiable income are required. Self-employed borrowers may need to provide additional documentation such as tax returns and profit and loss statements.
Why Work With Joshua Donion?
Personalized Service
Every borrower receives a customized loan strategy tailored to their unique financial situation and goals.
Competitive Rates
Access to a wide range of lenders and loan products ensures you get the most competitive rates available.
Fast Pre-Approvals
Get pre-approved quickly so you can shop for homes with confidence and make strong offers.
Transparent Process
Clear communication at every step with no hidden fees or surprises at the closing table.
Frequently Asked Questions
How much of a down payment do I need to buy a home?
It depends on the loan program. VA and USDA loans offer zero down payment options. FHA loans require as little as 3.5%, and conventional loans start at 3%. Your mortgage advisor can help determine which option best fits your situation.
What credit score do I need to qualify for a mortgage?
Minimum credit score requirements vary by loan type. FHA loans accept scores as low as 580, while conventional loans generally require 620 or higher. Higher credit scores typically qualify for better interest rates and terms.
How long does the mortgage approval process take?
The typical mortgage process takes 30 to 45 days from application to closing. Getting pre-approved before you start house hunting can speed up the process significantly. Timelines may vary based on the complexity of your financial situation.
What is the difference between pre-qualification and pre-approval?
Pre-qualification is an informal estimate of how much you might be able to borrow based on self-reported information. Pre-approval involves a thorough review of your finances, including credit checks and income verification, and carries much more weight with sellers.
Can I buy a home if I have student loan debt?
Yes. Student loan debt is factored into your debt-to-income ratio, but it does not automatically disqualify you. Many borrowers with student loans successfully qualify for mortgages. Joshua can help you understand how your debt impacts your purchasing power.
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