JUMBO
Jumbo Home Loans are great for home buyers looking to purchase a higher-priced home. Unlike other government programs like FHA or USDA, Jumbo loans are especially catered for loan amounts higher than $417,000,
What is a JUMBO Loan?
The JUMBO loan program is designed for loan amounts that exceed the conventional conforming loan limits of the Federal Housing Finance Agency (FHFA). In other words, they’re big loans.
When applying for a JUMBO loan, here is what you need to know:
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Undergo more rigorous credit requirements than those applying for a conventional loan
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Approval requires a stellar credit score and a very low debt-to-income (DTI) ratio
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The average annual percentage rate (APR) for a jumbo mortgage is often on par with conventional mortgages, while down payments are roughly 10% to 15% of the total purchase price.
Qualifying for a JUMBO loan involves an assessment that looks at your:
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Credit Score
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Income
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Debt-to Income Ratio
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Down Payment
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Employment Status and History
