Conventional Conforming loans meet the underwriting requirements of Fannie Mae and Freddie Mac, the two most prominent government-sponsored enterprises (GSEs) that are regulated by the Federal Housing Finance Agency (FHFA) and bring capital to the housing market. Conforming means the loans conform to Fannie/Freddie guidelines and the lending limits set by FHFA, as determined by geographic region (FHFA Conforming Loan Limits). Often thought of as a traditional home loan that requires a 20% down payment, Conventional loans now offer several options that require only 3% down.