What are Conventional Loans and Conforming Loans?

By definition, a Conventional Loan is any mortgage that’s not guaranteed or insured by the federal government. Colorado conventional loans may be either “conforming” and “non-conforming”, although ‘conventional loans’ generally refer to ‘conforming loans’. Therefore Colorado conventional loan limits are the same thing as Colorado conforming loan limits.

Colorado Conventional Loan Limits

What is the maximum amount that I can borrow?

Conventional loan limits in Colorado are determined by:

  • Colorado Conventional Loan LimitsMaximum LTV Ratio:  The maximum financing loan-to-value ratio for conventional mortgages is 80% – 97% of the appraised value of the home or its selling price, whichever is lower. Learn how to calculate loan-to-value.
  • Maximum Loan Amount: Conventional loan limits in Colorado are set at the floor amount of $424,100 across most of the state. Metro areas in CO with a conforming limit of $424,100 include Denver, Aurora, Colorado Springs and Boulder. Areas with higher limits include Breckenridge, Vail, Steamboat Springs and Aspen.

Search all Conventional Loan Limits in Colorado:

County Name
Area
1-Unit
2-Unit
3-Unit
4-Unit
ADAMSDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
ALAMOSANON-METRO$424,100$543,000$656,350$815,650
ARAPAHOEDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
ARCHULETANON-METRO$424,100$543,000$656,350$815,650
BACANON-METRO$424,100$543,000$656,350$815,650
BENTNON-METRO$424,100$543,000$656,350$815,650
BOULDERBOULDER, CO$529,000$677,200$818,600$1,017,300
BROOMFIELDDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
CHAFFEENON-METRO$424,100$543,000$656,350$815,650
CHEYENNENON-METRO$424,100$543,000$656,350$815,650
CLEAR CREEKDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
CONEJOSNON-METRO$424,100$543,000$656,350$815,650
COSTILLANON-METRO$424,100$543,000$656,350$815,650
CROWLEYNON-METRO$424,100$543,000$656,350$815,650
CUSTERNON-METRO$424,100$543,000$656,350$815,650
DELTANON-METRO$424,100$543,000$656,350$815,650
DENVERDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
DOLORESNON-METRO$424,100$543,000$656,350$815,650
DOUGLASDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
EAGLEEDWARDS, CO$636,150$814,500$984,525$1,223,475
EL PASOCOLORADO SPRINGS, CO$424,100$543,000$656,350$815,650
ELBERTDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
FREMONTCANON CITY, CO$424,100$543,000$656,350$815,650
GARFIELDGLENWOOD SPRINGS, CO$636,150$814,500$984,525$1,223,475
GILPINDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
GRANDNON-METRO$424,100$543,000$656,350$815,650
GUNNISONNON-METRO$424,100$543,000$656,350$815,650
HINSDALENON-METRO$427,800$547,650$662,000$822,700
HUERFANONON-METRO$424,100$543,000$656,350$815,650
JACKSONNON-METRO$424,100$543,000$656,350$815,650
JEFFERSONDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
KIOWANON-METRO$424,100$543,000$656,350$815,650
KIT CARSONNON-METRO$424,100$543,000$656,350$815,650
LA PLATADURANGO, CO$424,100$543,000$656,350$815,650
LAKENON-METRO$625,500$800,775$967,950$1,202,925
LARIMERFORT COLLINS, CO$424,100$543,000$656,350$815,650
LAS ANIMASNON-METRO$424,100$543,000$656,350$815,650
LINCOLNNON-METRO$424,100$543,000$656,350$815,650
LOGANSTERLING, CO$424,100$543,000$656,350$815,650
MESAGRAND JUNCTION, CO$424,100$543,000$656,350$815,650
MINERALNON-METRO$424,100$543,000$656,350$815,650
MOFFATCRAIG, CO$424,100$543,000$656,350$815,650
MONTEZUMANON-METRO$424,100$543,000$656,350$815,650
MONTROSEMONTROSE, CO$424,100$543,000$656,350$815,650
MORGANFORT MORGAN, CO$424,100$543,000$656,350$815,650
OTERONON-METRO$424,100$543,000$656,350$815,650
OURAYNON-METRO$425,500$544,700$658,450$818,250
PARKDENVER-AURORA-LAKEWOOD, CO$493,350$631,550$763,450$948,750
PHILLIPSNON-METRO$424,100$543,000$656,350$815,650
PITKINGLENWOOD SPRINGS, CO$636,150$814,500$984,525$1,223,475
PROWERSNON-METRO$424,100$543,000$656,350$815,650
PUEBLOPUEBLO, CO$424,100$543,000$656,350$815,650
RIO BLANCONON-METRO$424,100$543,000$656,350$815,650
RIO GRANDENON-METRO$424,100$543,000$656,350$815,650
ROUTTSTEAMBOAT SPRINGS, CO$625,500$800,775$967,950$1,202,925
SAGUACHENON-METRO$424,100$543,000$656,350$815,650
SAN JUANNON-METRO$424,100$543,000$656,350$815,650
SAN MIGUELNON-METRO$625,500$800,775$967,950$1,202,925
SEDGWICKNON-METRO$424,100$543,000$656,350$815,650
SUMMITBRECKENRIDGE, CO$625,500$800,775$967,950$1,202,925
TELLERCOLORADO SPRINGS, CO$424,100$543,000$656,350$815,650
WASHINGTONNON-METRO$424,100$543,000$656,350$815,650
WELDGREELEY, CO$424,100$543,000$656,350$815,650
YUMANON-METRO$424,100$543,000$656,350$815,650

Colorado conforming limits can change anytime. Check back often to ensure accuracy.

What factors determine if i’m eligible for a Conventional Loan in Colorado?

Conventional conforming loans follow the terms and conditions set forth by government sponsored enterprises (GSE’s) like Fannie Mae or Freddie Mac. To be eligible for a Conforming Loan in Colorado, your monthly housing costs (mortgage principal and interest, property taxes, and insurance) must meet a specified percentage of your gross monthly income. Your credit background will be considered. A FICO credit score of 620 or above is generally required to obtain a conventional loan approval. You must also have enough income to pay your housing costs plus all additional monthly debt.

How much money will I need for the down payment and closing costs?

Conventional home loans require the home buyer to invest between 3% and 20% of the sales price towards the down payment and closing costs. If the sales price is $100,000 for example, the mortgage applicant must invest at least $3,000 – $20,000 to meet conventional mortgage down payment requirements, depending on the program.

Minimum Colorado Conventional Loan Down Payment:

Residence UsageFixed-Rate Mortgage (FRM)Adjustable-Rate Mortgage (ARM)
1 Unit Primary3% Down Payment10% Down Payment
2 Units Primary15% Down Payment25% Down Payment
3 Units Primary25% Down Payment35% Down Payment
4 Units Primary25% Down Payment35% Down Payment
1 Unit Second Home10% Down Payment20% Down Payment
1 Unit Investment15% Down Payment25% Down Payment
2 Units Investment25% Down Payment35% Down Payment
3 Units Investment25% Down Payment35% Down Payment
4 Units Investment25% Down Payment35% Down Payment

What property types are allowed for Conventional Conforming Mortgages?

CO Conventional Loan RequirementsConventional mortgage guidelines allow you to purchase warrantable condos, planned unit developments, modular homes, manufactured homes, and 1-4 family residences. Conventional loans can be used to finance primary residences, second homes and investment property.

Learn more about conventional mortgages.

What types of mortgage and refinance programs do Conventional Loans offer in Colorado?

There are several varieties of standard home purchase, first-time home buyer and conventional refinance loans available in Colorado:

  • Conventional Purchase Loans – Conventional loans offer a variety of programs for applicants with good credit ratings to buy a home. Both 3% down mortgage and 5% down mortgage options are available, however 20% down is the minimum amount required to avoid private mortgage insurance.
  • Conventional Rate/Term Refinance: Conventional Rate/Term refinancing loans are for borrowers who currently have an FHA, VA, USDA or conventional fixed rate mortgage or ARM loan and wish to refinance into a conventional mortgage with a lower interest rate. If you’re a homeowners considering a stable, conventional fixed-rate mortgage, this program may also eliminate your mortgage insurance if you have at 20% equity in your home.  If not, Conventional 97% loan programs may also work for you.
  • Cash-Out Refinance: A Conventional Cash Out Refinance is perfect for the homeowner who wants to access the equity that they have built up in their home. This program is beneficial to homeowners whose property has increased in value since it was purchased.

What factors determine if I am eligible for a Conventional Refinance Loan?

To meet conventional refinance mortgage requirements in Colorado, your monthly housing costs (mortgage principal and interest, property taxes, and insurance) must meet a specified percentage of your gross monthly income. Your credit background will be considered. You must be able to cover closing costs and have enough income to pay your monthly debt.

Conventional Loan Requirements

More Colorado Mortgage Limits

You may also want to visit these additional home loan resources before deciding on a mortgage program:

 

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