A jumbo loan is a type of mortgage that surpasses the limits set by government guidelines – hence it is “non-conforming” because it does not comply with established Fannie Mae regulations. In most parts of the U.S., any loan greater than $424,100.00 is considered a jumbo mortgage loan, although in some higher-cost counties, the minimum loan amount to qualify for a jumbo loan is much higher.
Needless to say, jumbo mortgages are popular with investors and buyers looking to go big with their acquisition. They’re especially advantageous in more expensive housing markets, or if you have a major long-term investment in mind. The sheer size of a jumbo mortgage allows you to avoid drawing from your savings or having to take out more than one mortgage. In addition to allowing you a wider choice of real estate to purchase, jumbo mortgages are often competitively priced and are available for primary, secondary and investment properties. Jumbo loans can be fixed rate or ARM (adjustable rate mortgage) loans.
Legacy Park Mortgage is well versed in jumbo mortgages, and can provide you with jumbo loan options with down payments as low as 5 percent! We’ll help you decide if a jumbo mortgage is best for you and assist you in getting qualified.