Below you will find some common Jumbo Purchase FAQ’s, please contact us with your question.
Question: What is the minimum down payment required for a Jumbo loan in 2020? J. Sanders – Chicago IL. Answer: The minimum down payment will depend on your credit scores. 95 percent Jumbo financing is popular for home buyers that have good credit over 700. However, borrowers that have lower credit scores will likely be required to put down at least 10-15% down payment.
Question: Is the 95% financing Jumbo currently available to all states? W.Chambers – San Diego, CA. Answer: Yes, all 50 states.
Question: Can I purchase a condo with the Jumbo loan? K. Myers – Dallas, TX. Answer: Yes, most condos are eligible for Jumbo financing.
Question: Can Doctors and Physicians use the 95% financing option? G. Lipton – West Palm Beach, FL. Answer: For sure, any home buyer that meets the qualification guidelines is welcome to apply regardless of occupation.
Question: I own a 1-acre lot I want to build to home on, what are my options? N. Mathers – Charlotte, NC. Answer: Please read more about special Jumbo Construction loans here.
Question: What are my options to get obtain a Jumbo loan with 5 percent down? L. Kears – Cleveland, Ohio. Answer: Most home buyers will have a few different choices like a single 95% loan, or a combo “piggyback” first and second mortgage – 80/15/5. What option makes the most financial sense will depend on many factors like the home buyer’s credit profile, reserves, etc.
Question: Can I get a fixed-rate term? I really don’t want to get an adjustable rate mortgage – F. Gilford – Boston, Mass. Answer: Yes, the Jumbo programs offer both the fixed rate and adjustable (ARM) rate 5/1, 7/1 or 10/1 terms….your choice.
Question: Does the Jumbo program have a penalty or paying off the loan early? H.Donaldson – Atlanta, GA. Answer: No, you can move or sell your home anytime you like without penalty.
Question: Can I get a Jumbo loan with 5% down payment? V. Newberry – Salt Lake City, UT. Answer: Yes, assuming you meet the qualifying requirements outlined on the website. The 5 percent down jumbo loan is available to buyers nationwide.
Question: I want to purchase a vacation home in Florida, the purchase price of the home is only $250,000. I currently own my primary home with no mortgage, the value is $750,000. Should I get a new loan for the second home in Fla, or refinance my primary home (cash out) and purchase the next home outright? P. Miller – Charlotte, NC.
Answer: Great question. Both options could work – it really depends on the rate/terms. You could refinance your current primary home and cash out the 250K. Since the loan to value will be so low, it may make financial sense to go this route. You could also just look at taking out a Home Equity loan (HELOC) on your primary home for 250K. This option is good because the closing costs will be lower. Contact us and we can discuss all the pros and cons.
Question: What kind of savings do I need to have in order to get approved? H. Goodwin – Kansas City, MO Answer: It really depends on your loan amount and credit. For loan amounts under $1,000,000 you should plan on at least 3-4 months of mortgage payment reserves after your down payment is made. For higher loan amounts you may be required to have 12 months payment reserves. Non-liquid retirement account like 401K, IRA do satisfy this request.
Question: How much can I borrow if I put a 10 percent down payment? K. Hayward – Minneapolis, Minnesota. Answer: Loan amount limit for 90% LTV is $3,000,000 – must have a 720 credit score.
Question: I’m a veteran, are there any VA options for higher-priced homes here in California? A. Daniels – San Diego, CA. Answer: Yes, VA has high balance jumbo loans up to $1.5m. Which jumbo option will be best for you depends on a few things, but the VA option is certainly a good one for eligible Vets. Read more about California VA Jumbo Loans.
Question: Any options for home buyers with a past short sale? L. Mcgriff – Phoenix, Arizona Answer: Yes, please see the Jumbo Purchase page. There you will find special financing options for buyers with a previous short sale.
Question: How long does the process take to get pre-approved and closed on a Jumbo loan? D. Earnest – Houston, TX. Answer: The Jumbo pre-approval process can be completed in one phone call, often times in under 30 minutes. The closing process usually takes about 25-30 days from the time the buyer has a complete executed purchase contract.
Do you have a question or want to learn how to apply? Please contact by calling Ph: 800-962-0677 or just submit the quick contact form on the right side. Mobile users will find the quick form down below.