(Answers To Some Important Jumbo Loan Questions)
So you’ve heard about jumbo loans, Orange County, CA? And now you are thinking about whether or not you should consider it your option for a mortgage loan. To help you make sense of it, here are some answers to lingering questions about jumbo loans.
Who is getting jumbo loans?
Here’s one thing applicants should know: it takes excellent credit and a considerable amount for the down payment to get a jumbo mortgage. While the definition of excellent credit may vary, industry experts agree that a FICO score of 800 or above is within this category. As for the down payment, it is the convention to put aside at least 20% for the down payment to qualify for jumbo loans.
What do the mortgage rate trends on jumbo loans show?
As with the rates on conventional mortgages, mortgage rates on jumbo loans show a declining trend. Bankrate’s weekly national survey of mortgage rates indicates that the average rate on a 30-year, fixed jumbo mortgage, Orange County, CA, is at 3.81% (~5% in Nov 2017). To make more sense of the numbers, finding a reputable mortgage broker who specializes in jumbo loans can be a great help.
Why are jumbo loan limits necessary?
When you apply for a home loan whose value is beyond the conforming loan limits set by the FHFA, the industry considers it a jumbo loan. These limits provide help to lenders to make more loans accessible to borrowers. Loans not within the conforming loan limits, including jumbo loans, are riskier for lenders.
Are jumbo loans more difficult to get approved than conforming loans?
No. Borrowers should not think that jumbo loans, Orange County, CA, are more challenging to deal with than the conventional ones in terms of approval. What borrowers should think about is the fact they have different steps to follow.
Online looking for a reputable company that helps your application for jumbo loans in Orange County, CA? Contact HomePlus Mortgage today at 800-810-PLUS (7587).