California Jumbo Loans: Mortgage Limits & Requirements

Jumbo Loan in San Francisco-California is easier to obtain

Normal loan size is typically $ 424k and as long as your loan balance is in this bracket you are considered to be underwritten by government agency guidelines like Fannie Mae and Freddie Mac. Now this loan size is not stoned. The agencies understand that California is a high cost area and some of the counties are really high cost area. So one standard cannot be applied to all counties throughout the state. 

So each county has a specific loan amount limit specified to be considered or underwritten by Fannie Mae or Freddie Mac guidelines. If that threshold is exceeded it becomes or what is called a Jumbo loan. The loan limit is county specific and not city specific. So what happens when you hear the word Jumbo. Well nothing to be taken aback. Agency for loans in CA are loans underwritten by Fannie Mae or Freddie Mac guidelines. When you don’t have a government agency backing your mortgage. Its a jumbo loan. 

Here the banks Niche, products and the standards come into play. Its wise to talk to a mortgage broker if you have a jumbo loan because he can bring many choices on the table as he is connected to several banks and lenders. Not only in terms of mortgage product choices but also in terms of which banks underwriting process is easier.Since jumbo has no backing of government agency. It becomes each to its own, meaning every bank will have their own rules. Which is why I suggest that San Francisco mortgage borrowers looking for lowest rate jumbo loan should be discussing with a broker instead of a bank or lender.

Your mortgage expert assessing your file would figure out looking at your need whether to go with a lender who has a slightly higher rate but won’t ask a million questions or to go with a lender who has the lowest mortgage rate but would be asking a million questions which could delay the closing due to more paper work needed.As far as income details are concerned. Typically banks or lenders would require two years of income details. Mostly in my experience borrowers who have jumbo loans like to manage their mortgage instead of paying off the mortgage. If you have a million dollar loan and 2 million dollar value, borrowers like these prefer to manage instead of paying off the mortgage. They know they have good equity in the house and it will keep building up in times to come.

Especially with big homes it’s also been seen that some banks like to send out two different appraisers from two different appraisal companies. Borrowers should not feel surprised to pay for appraisal twice.

For more information visit www.affordable-payment.com or call 323-705-3191 if you are a California Mortgage borrower or If Texas Mortgage Borrower call 713-463-5181 EXT 154. You can even e mail at roger@affordable-payment.com

Article by Roger Shanker

Mortgage rates in San Francisco

San Francisco Mortgage Market | Mortgage rates in San Francisco 

San Francisco is amongst the top mortgage market in California. Beautiful city has full of options for San Francisco mortgage borrowers. If you are looking to own a piece of property that are so many choices to choose from. If you have excellent scores of 720 or 740 plus the doors to no down payment options are available where you can move into your new home paying almost nothing.

If you are a San Francisco Mortgage borrower who already owns a piece of property then you already know that homes in San Francisco are expensive. People have life style expensive towards which most of their earnings are chanelled. Home is one of the biggest life style expenses. It talks about your status and standard. Mortgage rates have been climbing but little would you be aware that if you have scores of 740 or 720 plus you open the door to amazingly low rates of 3.5%.

Rates like these were available only during the peak recession time of 2008 but even in 2017 such rates are available. These rates are not available to all so must check with your San Francisco Mortgage expert for help.Property prices have been rising over past few years. Some of the business segment is showing a staggering growth rate of 30%. If you are looking to borrow cash because to pay off you debts to come out of debt trap, you not only have the option to chose from conventional mortgage product but you can even look into FHA mortgage product as a possible solution.

Not every borrower has excellent scores. That doesn’t mean no help is available to them. FHA and VA mortgage in San Francisco are some possible options to look into for help.One borrower’s financial scenario is completely different from another borrower which is why experts know that when they are looking into financial scenarios they are looking at unique patterns and every borrower requires a solution unique to his problems and goals.The best suggestion would be to talk to a San Francisco mortgage expert to present you with solutions.

For more information visit www.affordable-payment.com or call 323-705-3191 if you are a California Mortgage borrower or If Texas Mortgage Borrower call 713-463-5181 EXT 154 .

Article by Roger Shanker 

Refinance Mortgage Rates in San Francisco

San Francisco-California, FHA Home Loans for Cash out Refinancing

Since 2008 borrowers in general are avoiding to take cash out pulling equity from home. They have limited their spending on credit card. No more are mortgage borrowers caught in the frenzy of borrowing money from home every year.California Mortgage rates have been steadily increasing but QE 4 is what the market is talking about. FEDS will have to start with the 4th round of quantitative easing. When that happens we are likely to see drop in mortgage rates.San Francisco, CA mortgage borrowers shopping for lowest mortgage rates need to know when the rates come down.

Economic crisis of some kind or geo political situation like the one we are seeing in North Korea. All these major developments in the market bring the mortgage rates down.

If however you are caught in debt trap and you have no other way to come out except to pull money out of home.  FHA allows you to pull out 85% of the total value of the home as cash out. Besides the money you borrow, the interest is tax deductible.Even your monthly mortgage insurance is allowed as deduction on your tax. FHA mortgage rates in general are lower than conventional mortgage.The industry was hoping that the new administration would bring down monthly mortgage insurance premium easing for borrowers to save money on mortgage but that has not happened.

The advantage of an FHA mortgage was truly understood by California mortgage borrowers in 2008 when the homes were underwater. FHA never required any new appraisal and whatever home value was recorded in its books during the last refinance was considered as its current value despite the fact that home values were completely upside down. FHA borrowers since 2008 have refinanced their home several times and now have amazingly low rates.Those looking to get their mortgage insurance waived however should now look towards conventional mortgage as their answer as with FHA mortgage. It is almost impossible as the new rules make it mandatory for the borrowers to continue paying mortgage insurance as long as they continue with FHA that is even if the loan amount may be equal to or less than 80% of the value of the home.

For more information visit www.affordable-payment.com or call 323-705-3191 if you are a California Mortgage borrower or If Texas Mortgage Borrower call 713-463-5181 EXT 154. You can even e mail at roger@affordable-payment.com

Article by Roger Shanker