What is a VA Jumbo Loan?
This type of mortgage is considered a non-conforming loan, one that is available for an amount that exceeds the conventional limit.
This limit is determined by the Federal National Mortgage Association (FNMA) or Federal Home Loan Mortgage Corporation (FHLMC) guidelines.
The limit for a conventional loan is currently $ 417,000, or $ 625,000 in Alaska and Hawaii.
How does the interest rates for VA Jumbo loan compare to that of conventional loans?
The interest rate is usually higher for a VA Jumbo loan than that of a conforming loan because the risks to the lender are higher. However, with a VA loan this is not the case. Unlike non-conforming interest rates that usually run between .25% and .5% higher, VA jumbo loans are very competitive with current conforming rates.
Do VA Jumbo loans require a down payment?
Yes, but very little compared to non-conforming Jumbo products. Call me to find out just how much of a down payment would be required on your upcoming Jumbo home purchase.
Do I have to maintain Private Mortgage Insurance (PMI)?
No. You will never need to worry about throwing your hard-earned money away on MI with a VA Jumbo loan.
Still have more questions?