A plain-language comparison of down payment, mortgage insurance, and credit flexibility for common purchase scenarios.
Conventional and FHA loans both help buyers purchase a primary residence, but they solve different problems.
Conventional loans often reward stronger credit and larger down payments with competitive pricing and the ability to cancel private mortgage insurance once you reach enough equity.
FHA loans can be a fit when you need more flexible credit guidelines or a lower down payment. Mortgage insurance works differently and typically stays for the life of the loan in many cases.
The right answer depends on your credit profile, cash-to-close goals, and how long you expect to keep the home. A licensed Clear Mortgage loan officer can model both paths before you write an offer.