Can I buy a second home with a conventional loan?
Yes. Conventional is the standard path for second homes (vacation properties). Minimum down payment is typically 10%, occupancy intent matters, and the property must be a one-unit suitable for year-round occupancy. Pricing is between primary residence and investment property.
What this actually means.
Second-home requirements: 1) borrower's exclusive use as a second home, not a rental; 2) one-unit property suitable for year-round occupancy; 3) reasonable distance from primary residence (no published rule but lenders flag obviously-co-located properties); 4) typically 10% minimum down (some programs allow 5%); 5) modest LLPA hit vs primary; 6) reserves required. The occupancy intent has to hold up — if the borrower rents out the second home regularly, the loan terms can be violated. Subject to Fannie/Freddie guidelines.
Where this can move.
Occupancy intent, property location, and second-home LLPAs can change the answer. Rental use can shift classification.
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More conventional questions on Second Home.
Educational only. Conventional loan guidelines, lender overlays, rates, fees, PMI, LLPAs, and underwriting requirements can change. Final eligibility depends on full underwriting review. Mortgage Expert, Inc. is not affiliated with Fannie Mae, Freddie Mac, FHFA, or any government agency.