One of the most exciting developments is the return of the 30 Year Fixed Jumbo Loan.
Over the last few years fixed Jumbo Loans have been difficult to find and when they were available they required a minimum of 25% – 30% down payment.
It was also hard to find loan amounts over $1.5 Million.
We now have sources who will do a 30 Year Fixed Jumbo Loan up to $2 Million at an 80% Loan to Value. That means that a client could purchase a $2,500,000 home, put 20% down, and secure a 30 Year Fixed Jumbo Loan of $2,000,000!
Now, this does require at least a 720 FICO score, a debt to income ratio (DTI) no higher than 38%, and there are some post closing liquidity requirements.
If your ratios are higher we do have other options available for Jumbo Loans that allow higher ratios. This program is also available as a 15 Year Fixed.
Interest Rates for 30 Year Fixed Jumbos
You might think that the interest rates for a loan like this would be quite high, but that is not the case. As of March 11, 2011 the rates are still below 6.00%.
Take a look at the following scenario:
Purchase Price: $1,500,000
Max LTV of 80% = $1,200,000 loan amount
Interest Rate 30 Year fixed: 5.875%
PI Payment: $7,098.45
This program also allows for no-cash out refinances up to a $2 Million loan amount and the purchase or refinance of a condo up to a loan amount of $1.5 Million at 75% LTV or $2 Million at 70% LTV.
If you have any questions on Jumbo Loans in San Diego or California please feel free to contact me and look for my next post on a few other exciting Jumbo programs. If you would like more background on Jumbo Loans please visit my Jumbo Loans page.