Usually JUMBO Guidelines are a tad tighter than a regular conforming Fannie Mae / Freddie Mac mortgage but if you need a Jumbo Loan for that special Home, We have a Great Place to Place Your Loan
Jumbo mortgages are a completely different category of home mortgages but also similar to conventional mortgages in some ways. Jumbo mortgages are used when the loan amount is over $647,200. The underwriting is similar but sometimes guidelines ask for a little higher credit score and a few more months of reserves in the bank because there is more at stake for the Lender with a Jumbo loan.
Usually guidelines are a tad tighter compared to conforming loans (under $647,200) because there is more of a risk for the lender because the loan amount is higher and if the loan goes into default, they lose more money.
Guidelines usually require at least a 680 median credit score with proof of income and about 10-12 months reserves after closing.
But on the flip side, for the right customer, the PRIME JUMBO program can lend 96.5% on a Jumbo up to 3 million.
If you need a larger loan, we have other investors who lend up to $8 million.
In 2020, many hedge funds stopped offering the Jumbo mortgage because there was plenty of uncertainty due to the economic affects of the corona-virus.
In 2021, my favorite lender and also the largest wholesale lender in the country came out with a great jumbo at excellent pricing.
In 2022, mortgage interest rates have jumped substantially but the interest only option is now available and we have more options when it comes to getting an adjustable rate mortgage again.
If you need a loan less than $647,200,
please look at Conventional Loans.
Ask us about Non-Prime Options such as the Bank Statement Loan and the DSCR Loan. These are great options if you cannot prove sufficient income with tax returns and pay-stubs because your business had a lot of expenses that were written off.
