Temecula, Murrieta, San Diego Jumbo Mortgages
Filed under: The Temecula/San Diego Market
They’re baaaaack. Jumbo mortgages that is.
Even just defining a jumbo mortgage is a bit difficult these days. Just a couple years ago all loans over $417,000 were considered jumbo. In 2009 the line between “conventional” loans and “jumbo” loans got blurred. Part of the economic stimulus from the government allowed Fannie Mae and Freddie Mac to lend for loan amounts up to $729,750 depending upon what county your property is in.
Until recently, any loan over the Fannie/Freddie limits were very difficult, if not impossible to get funded. Most lenders were lending up to a maximum of 65-70% of the value of a home. There were also very stringent requirements for credit scores, income levels, cash reserves after closing, etc. Most frustrating to many jumbo clients was the fact that fixed rates either didn’t exist or came with extremely high interest rates. It was either an adjustable rate, or a very high rate for a fixed rate mortgage.
We are now seeing some lenders getting back in to the true jumbo lending market and the competition is good for jumbo clients buying or refinancing. I am working with several lenders today that will lend up to 80% of the value of a house up to $1.5 million loan amounts. There are fixed and adjustable rates available at surprisingly low interest rates too.
Have you been looking at your dream home, but stopping short of getting serious about buying it because you didn’t think financing was available? Now might be the time to get serious. Or, are you already in a jumbo loan with a high rate or an adjustable rate.
Jumbos are back. Not everyone will qualify for these loans, but it’s well worth looking into the possibilities.
Franklin Loan Center | NMLS 237653
Licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act, 4131316