The first attribute that makes a loan a Jumbo Loan is the loan amount. Loan amounts above $453,100 fall into the Jumbo category. These loans are not backed by Fannie Mae or Freddie Mac, but rather other financial investors. However, like conventional loans (Fannie/Freddie), the better your credit score and the greater the down payment directly impacts the interest rate and loan terms. Jumbo rates tend to be a little higher than conventional rates as the risks are larger. Comparatively speaking, Jumbo rates are still at historic lows.
Jumbo Loans have recently expanded their criteria allowing more borrowers to purchase their dream homes. You can now finance up to 95% LTV (loan to value) with no MI (mortgage insurance)! For those that are self-employed or have non-traditional income, you can now qualify for a mortgage using bank statements, tax returns or assets only. Some of our Jumbo programs are also forgiving of past adverse credit such as foreclosures and bankruptcy sooner than conventional lenders.
We know everyone’s circumstances are different. Please contact us today to discuss your needs. We will work hard to help you finance your dream home!