Jumbo Loans for Exceptional Homes
If your dream home budget exceeds loan limits set through Fannie Mae and Freddie Mac, a jumbo loan may be right for you. At North Star Mortgage Network Inc., we work with several lenders to provide competitive jumbo loan rates to our customers. We can help you get pre-approved for a jumbo loan in Ponte Verde, FL, and surrounding areas, so you can go about the home buying process with confidence. Contact our certified mortgage brokers for more information on jumbo loans and set up a consultation today.
Why Choose a Jumbo Loan?
Jumbo loans are also known as conventional, nonconforming loans. They are conventional because, unlike FHA and VA “nonconventional” loans, they are not insured or protected through the federal government. They are nonconforming because they don’t “conform” to the lending limit set through lending giants Fannie Mae and Freddie Mac. Currently, that loan limit is around $415,000. If you are house shopping in that range, you will need to consider this type of lending option.
A Larger Initial Investment
Because jumbo loans carry a higher risk for lenders than conventional loans, they traditionally require a larger down payment, typically at least 20%. While this initial investment is costly, it establishes an 80% loan to value (LTV) ratio. Because of this, you likely will not have to pay private mortgage insurance (PMI) on your jumbo mortgage, which can save you on your monthly payment. It is important to note that, while we can offer variable loan terms, you may be limited to adjustable interest rates versus fixed rates.
Eligibility for Jumbo Loans
Jumbo loans rightly require a more stringent approval process and some different requirements than conforming loans. Our mortgage brokers will do everything they can to help you finance the type of home you want. It is important to note that jumbo loans may require:
- A down payment of 20% or more
- Good to great credit, usually 680 or higher
- Financial documentation of income for the past few years
- Proof of liquid assets
- A debt-to-income ratio usually below 40%
- That you live in the home as your primary residence
If these requirements seem out of reach for you, we are here to help. We can help you determine what mortgage payment you can afford and help you determine what homes are within your budget.
The Connections You Need
When it comes to jumbo mortgages in Ponte Verde, we have the experience you need. Our jumbo loan experts have connections with Realtors and quality lenders who work in the area, so we can provide the best deals. Schedule a consultation with North Star Mortgage Network Inc., to see what options are open to you today.