619-313-7003 cameron@cvmloans.com

Jumbo Loans

A jumbo home loan, also known as a jumbo mortgage, is a type of financing that exceeds the limits set by the Federal Housing Finance Agency (FHFA) — currently $510,400 for a single-family home in all states (except Hawaii and Alaska and a few federally designated high-cost markets, where the limit is $765,600). Although they are nonconforming mortgages, jumbo loans still must fall within the guidelines of what the Consumer Financial Protection Bureau considers a “qualified mortgage”.

These mortgages are considered most appropriate for a segment of high-income earners who make between $250,000 and $500,000 a year.

Jumbos are considered riskier for lenders because they can’t be guaranteed by Fannie Mae and Freddie Mac, meaning the lender is not protected from losses if a borrower defaults.

How it Works

Advantages of Jumbo Loans

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Borrowers can get fixed- or adjustable-rate jumbo mortgages with various term options.

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The average annual percentage rate (APR) for a jumbo mortgage is often par with conventional mortgages—and in some cases, actually lower.

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While conventional mortgage loans usually require a 20% down payment, jumbo loan down payments can be as low as 5%, with 10% a more common figure.

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There are more options in terms of down payment

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You can buy various types of properties with a jumbo loan. As long as you meet your lender’s other requirements, there are no government restrictions on how you can use your jumbo loan. You can use most jumbo mortgages for primary residences, second homes, vacation houses and investment properties.

Cameron is a Mortgage Professional who has helped hundreds of homeowners and home buyers find the best possible mortgage products on the market. He has been in the top 1% of mortgage loan officers in the country as well as California for the past two years! In 2019 and again in 2020.

A low stress, efficient, and enjoyable loan process is Cameron’s goal every time.

Phone

619-313-7003

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