Jumbo Loans

Jumbo Loans:

Jumbo Loans exceed the maximum loan amounts established by Fannie Mae and Freddie Mac conventional loan limits (usually $862,500.00 in the mountain resort areas for a one unit property). Rates on jumbo loans are typically higher than conforming loans. Jumbo Loans are typically used to buy more expensive homes and high-end custom construction homes, and usually require a higher down payment than traditional loans (generally 25-30%).In general, we offer jumbo loans to $5,000,000.00, and higher loan amounts are possible on a case by case basis.  Determining the maximum loan amount involves evaluating the borrowers resources, income, credit, property type (condos for example generally qualify for a lower amount that would a single family) and intended occupancy.

Cordillera mansion

What else impacts the rate on a Jumbo Loan?

In some cases the form of ownership (individually vs a LLC or partnership) can impact the maximum loan to value or loan amount on a jumbo loan.

I have a very complex financial situation, what would it take to qualify?

Ideally, 2 years of personal taxes, coupled with business returns of any business you own more than 25% of would be the starting point.  However, in many cases we can look at alternative methods of qualifying an individual.

This can include a bank statement loan where we review 12-24 months of personal bank statements and determine what a stable monthly average cash inflow is.

If the subject property is to be purchased as an investment we may be able to use what is know as debt service coverage ratio, where we apply he projected net rental income against the carrying costs of the property,

We may also be able to use asset dissipation as income, whereby we impute a percentage of your liquid assets as monthly income.

Typically if we use one of the above alternative methods the borrower does not have to supply us with tax returns.

These materials are not from HID or FHA and were not approved by HUD or a Government agency