Jumbo Loans. Down Payments as Low as 5% Down!

Jumbo Loan Qualification Requirements

• All borrowers on the loan must have a minimum:
  • 720 middle credit score and maximum debt-to-income ratio of 43%:
    • With minimum 5% down and loan amounts up to $650,000
    • With minimum 10% down and loan amounts up to $850,000
  • 740 middle credit score and maximum debt-to-income ratio of 41%:
    • With minimum 15% down and loan amounts up to $1,000,000
    • With minimum 20% down and loan amounts up to $2,000,000
• No foreclosure, bankruptcy, or short-sales permitted on credit report
• No judgements, repossessions, or charge-offs within the last five years
• No mortgage delinquency in the last 12 months

Jumbo Loan – Adjustable Rate Mortgage Overview

The Jumbo Loan is an adjustable rate mortgage, that is fixed for the first 3, 5, 7, and 10 years and adjusts one time every year thereafter. There is even a 5/5 year ARM, that adjusts once every 5 years for the life of the loan.

• Interest rate is fixed for a period of 3, 5, 7, or 10 years
• After the initial fixed rate period, interest rates change, either up or down, based on:
  • A first-time adjustment of no more or less than 2% of the start rate
  • No more or less than 2% for each subsequent adjustment periods
• A lifetime cap not to exceed 6% over the initial interest rate
• Interest rate, after the initial fixed period, is based on the 5 Year T-Bill/Treasury rate plus a margin of 2.50%
• Loan can be paid off at any time without penalty
+ Adjustable Rate Mortgage – Adjustment Parameters