Jumbo Loans in Beverly Hills CA from The Yes Lender

Jumbo Loans from The Yes Lender

Jumbo loans are exactly what they sound like they are – large home loans. Another name for a jumbo loan is a non-conforming mortgage since they don’t conform to the loan limits that Congress imposed via the FNMA and FHLMC. Those government-sponsored entities are companies that are privately owned, and the federal government provides them with support to ensure the mortgage market stays affordable and stable. The reason why jumbo loans don’t conform to these guidelines that those organizations have created is due to the fact that they exceed the loan limits that have been established. Typically, a jumbo loan is used whenever you need a loan for an amount that is more than what the conforming loan limit is for the area where you live. We provide financing on jumbo loans to qualified buyers for up to $2.5 million.

Qualifying for a Jumbo Loan

It isn’t that much different to qualify for a jumbo loan than it is to qualify for a conforming home loan. Things that are considered when applying for a jumbo loan include your credit history and credit score, debt-to-income ratio, down payment amount and amount of money that remains after closing. In general, the credit score requirements are the same for both conforming loans and jumbo loans, but on a jumbo loan you may be required to have around one year’s of housing payments remaining after closing between your retirement savings and liquid assets. However, you might be able to qualify for an exception on a jumbo loan if you have a low debt-to-income ratio and high down payment.

Contact Tzvi Ratner-Stauber About Your Jumbo Loan

At times jumbo loans may provide more flexibility compared to a conforming loan, especially when you have a significant amount of cash reserves. Even when you have a high debt-to-income ratio you still might qualify for a jumbo loan, or you might be able to have less than a 20 percent down payment without being required to have mortgage insurance. In addition, the income calculations on a jumbo loan might be more reasonable compared to a conforming loan. Speak with a representative today about whether or not a jumbo loan can benefit you!