Washington Mortgage/Conventional Loans

Washington Conventional Loans 2026

Conventional loans offer Washington's strongest financing option for buyers with good credit. With limits up to $1,249,125 in Seattle metro and PMI removal at 20% equity, conventional financing covers most of Washington's housing market.

3%
Minimum Down Payment
$1.15M
Max Loan King County
620+
Minimum Credit Score

Washington Conforming Loan Limits (2026)

Conventional loans follow FHFA conforming limits. King, Snohomish, and Pierce counties qualify for high-cost limits.

County / Metro Area2026 Limit (1-Unit)Classification
King (Seattle)
$1,249,125High-Cost
Snohomish (Everett)
$1,249,125High-Cost
Pierce (Tacoma)
$1,249,125High-Cost
San Juan
$1,249,125High-Cost
Clark (Vancouver)
$832,750Standard
Spokane
$832,750Standard
Thurston (Olympia)
$832,750Standard
Kitsap (Bremerton)
$832,750Standard
Benton (Tri-Cities)
$832,750Standard
Whatcom (Bellingham)
$832,750Standard

Note: These are single-unit limits. 2-4 unit properties have higher limits. Loans above these amounts require jumbo financing.

Why Washington Buyers Choose Conventional Loans

PMI Removal

Unlike FHA, conventional PMI can be removed at 20% equity. With Washington's strong appreciation, many reach this faster than expected.

Lower Total Cost

For 700+ credit buyers, conventional typically beats FHA on total loan cost. No upfront mortgage insurance, lower rates available.

Condo Flexibility

Conventional loans have fewer condo restrictions than FHA. Most Seattle high-rises and townhome communities qualify.

Investment Property

Conventional financing works for second homes and investment properties. 15-25% down for non-primary residences.

No Income Tax Boost

Washington's no state income tax means more qualifying income. Tech workers especially benefit from higher take-home pay.

Flexible Down Payment

From 3% (Conventional 97) to 20%+. Choose the balance between cash preservation and monthly payment that works for you.

Conventional vs. FHA in Washington

FeatureConventionalFHA
Min Credit Score620580
Min Down Payment3%3.5%
PMI RemovalYes, at 20%No (life of loan)
King County Limit$1,249,125$977,500
Upfront MINone1.75%
Investment PropertyYesNo

Our Recommendation: We run a detailed comparison for every client. Generally, buyers with 700+ credit and 5%+ down save more with conventional. Lower credit or minimal savings often benefit from FHA's flexibility.

Washington Conventional Loan FAQs

What is the conventional loan limit in King County?

The 2026 conforming limit for King County is $1,249,125 for single-family homes. This covers most Seattle metro inventory. Homes above this require jumbo financing.

Can I put less than 20% down on a conventional loan?

Yes! Conventional loans start at 3% down with PMI. The PMI can be removed once you reach 20% equity, unlike FHA where it stays for the life of the loan.

What credit score gets the best conventional rates?

740+ credit scores qualify for the best rates. However, 700+ is typically sufficient for competitive pricing. We work with scores as low as 620.

Can I use conventional for a vacation home in Washington?

Yes, conventional loans work for second homes and investment properties. Expect 10-15% down for vacation homes and 15-25% for investment properties.

Is conventional better than FHA for Seattle condos?

Usually yes. Conventional has fewer condo restrictions, and most Seattle buildings qualify. We verify eligibility before you make an offer.

Serving Washington, Washington

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