CONVENTIONAL PURCHASE
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Conventional means those mortgage loans that are not Government insured. Conventional loans are insured against loss by default of the borrower by Private Mortgage Insurance, PMI, or are not insured against loss at all.

The lending guidelines for Conventional mortgages are set by both the PMI Companies as well as the particular investor or source of money for the loan. Remember the Golden Rule:
"Those that have the gold make the rules."