San Diego Jumbo Loans to $1.275 Million at 85% LTV

San Diego Home LoansAre you in the market to buy a million dollar plus home in San Diego, but don’t want to put 20% down in order to get your San Diego Jumbo Loan?

Then, I have a solution for you!

As a Mortgage Broker and Banker, I have access to a program that allows us to go to a combined loan amount of $1.275 Million up to 85%. This program has no Private Mortgage Insurance required.

*For our our definitive guide to jumbo loans including qualification and down payment details, see Jumbo Loans: The Definitive Guide.

There are not many other options available that allow this high of loan to value on such a large jumbo loans.

How the Program Works

This program is designed to be a 1st mortgage combined with a 2nd equity line. Usually, the 1st would be up to 80% and the 2nd would be the remaining 5%, but if you want the first to be smaller, you can go up to $350,000 on the equity line.
The breakdown of the loan amounts will also be determined by the requirements of the first and the total loan amounts they allow.

The first can either be a 30 year fixed or a 5/1, 7/1, or 10/1 ARM. The equity line is an adjustable rate based on the prime rate plus 1.99%. Currently, that totals 5.24%. The payment is calculated over 30 years. The first 10 years is interest only and then it becomes amortized over the remaining 20 years.

The equity line program requires a minimum 720 Fico score and qualifying ratios for the housing payment of 38% and 45% for the total debt to income ratio.

The guidelines for the first will also need to be taken into account. They may require different credit scores, debt to income ratios, or reserve amounts.

Sample Loan Scenario

Let’s look at a scenario where a client is looking to buy a home for $1.5 Million using a jumbo loan like we have been talking about. In this scenario we will use a 5/1 ARM for the 1st. up to $1.1 Million and the remaining amount on the equity line.

Down Payment: $225,000
1st lien loan amount: $1.10 Million
Rate on 5/1 ARM: 3.00%
Payment: $4,637.64
2nd lien loan amount: $175,000
Rate on Equity Line 5.24%
Interest Only Payment: $764.17
Total Mortgage Payment: $5,401.81

If you would like more information on how this unique loan program works please contact me at 858-519-3935. If you would like to receive a mortgage rate quote, click HERE.

In addition to this loan program, we have other great options for Jumbo Loans throughout California. Feel free to contact me to ask any questions you may have and see what other options may be available.

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