90% Jumbo Loans

You may have heard that large down payments are required for jumbo mortgage loans over $625,500 in the Bay Area.  For the most part, that is correct, but 90% jumbo loans are slowly making a comeback.  We have two programs I can recommend:

1.  90% Jumbo ARM (5/1, 7/1 or 10/1)

As long as you have excellent credit (with a FICO score over 760), this program offers a jumbo loan up to $875,500 with only 10% down.  That means you can purchase a single family home or condo up to about $975,000 with a down payment of only 10%.  The loan will be fixed for the first 5, 7, or 10 years, then becomes a 1 year adjustable.  Monthly mortgage is also required.  This is a great program for high wage earners who have not yet saved up a huge down payment, or for people who need to refinance and do not have 20% in equity.

2.  90% Jumbo 30 Year Fixed

This program offers a 90% jumbo loan to $750,000 (maximum purchase price $833,000) or an 85% loan to $850,000 (maximum purchase price of $1,000,000.)  This program requires a minimum credit score of 740 and can only be used on a single family home, not a condo, second home or investment property.  The mortgage insurance premium is included in the interest rate, which makes it fully tax deductible.  This is a real advantage to high wage earners who needs to maximize their tax deductions.

Please contact me today so we can discuss which of these programs makes the most sense for you!