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Q:When refinancing, conventional loans require at least a 10% equity position which means the final loan should not be greater than 90% of the current market value of the home. If the newly appraised value is $300,000 the conventional loan limit is 90% of that amount, or $270,000 which can include principal and interest plus closing costs. Conventional loans are those approved using standards issued by Fannie Mae and Freddie Mac. When pulling out cash during the transaction, the conventional limit rests at 80% of the value of the home.https://cambridgehomeloan.com/tampa-loan
