Category Archive: FL Jumbo Mortgage

Learn More About Florida Jumbo Mortgages

The housing market in Florida is steadily improving, and home values are on the rise. That makes jumbo mortgages very important to some home buyers. If you’re in the market for a larger home here in Florida, here are some things you should remember:

  • They’re Bigger. As the name implies, jumbo loans are larger than standard mortgages. For the most part, mortgage loans larger than $417,000 (in 2016) are jumbo loans. They’re called non-conforming loans because those loans are too large to be sold to government-sponsored enterprises Fannie Mae and Freddie Mac. So the lender must service these loans itself.
  • They’re Unique. Because these loans are offered by specific lenders, they can differ widely in terms, interest rates, underwriting requirements, and more. For example, jumbo loans can be offered as both fixed and adjustable rate mortgages. Conforming loans, on the other hand, tend to be more standardized to meet the rules set by Fannie Mae and Freddie Mac. The borrower should shop around and talk to several lenders before settling on a loan.
  • They’re Becoming Very Competitive. As the market improves and jumbo mortgages increase, lenders are offering better rates and lower fees. Remember that each lender sets different requirements, so look closely at all the terms before choosing a lender.
  • They Don’t Always Require a Larger Down Payment. Again, jumbo loans can often feature flexible terms and underwriting requirements. It’s a good idea to talk to your lender and see what options may be available before assuming you’ll need more money.

We Can Help

At Embrace Home Loans, we are experienced at jumbo mortgage financing in Florida. We’ll work with you to structure a jumbo loan that fits your financial needs and gets you into the home you want. Call us today at 407-733-6425 to find out more about our jumbo mortgage options.

Jumbo VA Loans in Florida: What You Need to Know

Mortgage loans guaranteed by the Department of Veterans Affairs (VA) are a great deal for eligible veterans here in Florida. Qualified veterans can buy a home costing up to $417,000 in most Florida counties with no money down. In two counties, Monroe and Collier, the limits are even higher ($529,000 and $448,500, respectively). What happens, though, if you’re looking at homes that cost more than $417,000? Homes in many areas of Central Florida, for example, like Winter Park, Isleworth/Windermere, Heathrow, Alaqua, or Lake Nona, can easily exceed that price.

So, what can veterans who want a larger home do? One answer is a VA jumbo mortgage. A jumbo loan is any loan that exceeds the $417,000 limit. The VA doesn’t actually set maximum limits on its loans. However, lenders who want to sell their loans in the secondary market have to keep their loans within the maximum limit set by the Government National Mortgage Association (GNMA or Ginnie Mae). In Florida, that limit is $1,000,000. And, like regular VA loans, jumbo VA loans come with a lot of advantages:

  • Better rates. VA jumbo loans are still partially guaranteed by the VA, so lenders can recover at least part of their money if the loan goes into default. That means their risk is lower and lenders will typically charge lower rates. That significantly reduces your monthly payment.
  • Lower down payment. Unlike regular VA mortgage loans, VA jumbo loans do require a down payment. However, it’s frequently much lower than you would need to pay for a non-VA jumbo loan.
  • Fewer restrictions. Lenders have very strict requirements to qualify for non-VA jumbo loans because the risk is much higher. Because the VA backs part of VA jumbo loan, borrowers don’t need to meet as many underwriting qualifications.
  • No mortgage insurance. Jumbo VA loans do not require private mortgage insurance (PMI). That saves you even more money.

Ask an expert

An experienced VA jumbo mortgage lender, like Embrace Home Loans, can guide you through the qualification process and help you obtain a mortgage loan that’s big enough to meet your needs. Call us today at 407-733-6425, and let us get to work for you.

Great Rates Available for Jumbo Mortgages

In the not-too-distant past, jumbo mortgages were almost impossible to find. After the financial crisis of 2008, many lenders shied away from any mortgage loans that weren’t backed by the government, like FHA or VA mortgage loans. And Brevard County jumbo mortgage loans aren’t backed by the government.

Jumbo mortgage loans are loans that exceed the “conforming limit” – which is the maximum loan amount that the government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac will buy. In most housing markets, that limit is $417,000. So, any mortgage bigger than that is a jumbo. Some expensive housing markets have higher conforming limits. In Florida, for example, Collier County’s limit is $448,500, and Monroe County is $529,000.

Jumbos are Back

Jumbo mortgages are much easier to find now, but there are more requirements than before. While some lenders may be flexible, you will probably be required to:

  • make a down payment of at least 10 percent.
  • thoroughly document your income.
  • have a credit score of 720 or higher.
  • make sure your new monthly mortgage payment is no more than 43 percent of your income before taxes.

Don’t forget to ask for both fixed rate options as well as adjustable, each has its own advantages.

Shop Around

Since jumbo loans are too big for government agencies, they’re handled by private lenders. That means each lender sets their own rates and establishes their own requirements. Conforming loans, on the other hand, often have the same rates and similar closing costs from lender to lender. Jumbo lenders also often have different requirements for the type of home (such as house or condominium), whether or not it’s your primary dwelling, whether or not it’s investment property, and so on. So it’s important to shop around to get the best mortgage that meets your individual needs.

Know Your Options

At Embrace Home Loans, we understand Brevard County jumbo mortgages, and we’ll work with you to get you the mortgage you need. With today’s low interest rate environment, jumbo loans are available at extremely attractive rates. To find out more about how a jumbo mortgage can benefit you, call us at 407-733-6425.

Could a Smaller Jumbo Mortgage Be an Option?

With home prices on the rise and as the market recovers from the mortgage crisis of 2008, more people are looking for larger mortgage amounts. The Washington Post reports that 23.5 percent of mortgage loans in 2014 were jumbo loans, and jumbo mortgages were up 9.8 percent in the first quarter of 2015.

The answer for some people may be smaller jumbo loans. Smaller jumbo loans sound like an oxymoron, like “jumbo shrimp.” The term, however, applies to loans that fall between the normal conventional loan limit, $417,000, and the traditional starting point for jumbo loans, about $625,500. The reason these loans exist is that, in certain high-cost geographic areas, the normal conforming limit set by the FHA is increased. In Florida, the 2015 conforming loan limit for Collier County is $448,500, and for Monroe County, it’s $529,000. These loans may also be called “conforming jumbo” loans, “agency” loans, or “high balance” loans because they still conform to Fannie Mae and Freddie Mac guidelines for purchase.

Different Standards

Typically, non-conforming jumbo loans (those that exceed the conforming loan limits) require higher credit scores than conforming loans and a standard 20 percent down payment. That’s because the mortgage company must keep the loan on their own books rather than sell it to Freddie Mac or Fannie Mae.

Conforming jumbos, however, can still be backed by government agencies and borrowers typically pay lower interest rates, have lower down payment requirements and have lower qualification requirements (these requirements vary from lender to lender). So a first-time home buyer in Monroe County who can choose between a conforming and non-conforming loan for $529,000 might very may well choose a conforming loan backed by the FHA with a 3.5 percent down payment, rather than a 20 percent down payment. A veteran eligible for a VA loan might choose a conforming jumbo VA loan.

Know Your Options

The differences between conforming and nonconforming jumbo mortgage loans can be complex, so it’s a good idea to research your mortgage options. At Embrace Home Loans, we are experts in jumbo mortgages and can help you understand what financing may be available to you. Please browse our website for more information, or call 407-733-6425, and we’ll answer your questions about mortgages in the Sunshine State.

Going Big: VA Jumbo Loans

A loan guaranteed by the Department of Veterans Affairs, also called a Florida VA loan, is a very important benefit available to many veterans. While the VA doesn’t loan money, it guarantees 25 percent of the mortgage amount, allowing veterans to borrow money from qualified lenders at favorable rates. It also allows veterans to borrow up to $417,000 (more in some high-cost areas) without having to make a down payment.

But what happens when the home you want is over that limit? A VA jumbo loan may be big enough to cover your dream home. VA jumbo loans are available in amounts up to $1,000,000, but there’s one requirement: You must pay 25 percent of the amount you borrow that’s above and beyond the loan limit.

For example, if you want to buy a home that costs $600,000, and the loan limit in your area is $417,000, the difference between the two amounts is $183,000. You’ll need to make a down payment of 25 percent of $183,000, or $45,750. That’s a down payment of only 7.625 percent of the total purchase price. Typically, jumbo conventional loans require a down payment of at least 10 percent, and also require private mortgage insurance (PMI), which further increases the cost.

VA loans are subject to eligibility requirements, so you need good credit, sufficient income, and a valid Certificate of Eligibility (COE) from the VA. Even if you’ve already used a VA loan, you may be able to have your entitlement restored if that loan has been paid in full or assumed by another veteran.

Talk to the experts

If you’re considering a Florida VA loan, or a VA Jumbo Loan, the mortgage professionals at Embrace Home Loans can help you get the financing you need. Contact us at 407-733-6425 or browse our website, and let us show you how a VA jumbo loan can help put you in the high-end home you want.

Bigger is Better: Florida Jumbo Mortgages

After the financial crisis of 2008, getting a jumbo mortgage was difficult. That’s now changed because jumbo mortgages are more available, and more affordable, too, meaning there are more options out there for those needing a Florida mortgage to realize their dreams of owning a home.

A jumbo mortgage is a term that describes a home loan that is larger than the conforming loan limits set by Fannie Mae and Freddie Mac, the two government-sponsored enterprises that buy mortgages from lenders. Those conforming loan limits are $417,000 for most of the United States, though they can range up to $625,000 in higher-cost areas.

Bigger purchases

Pricey Florida real estate can easily cost more than the conforming loan limits, and many Florida buyers look to jumbo mortgages to finance their dream homes. While the mortgage process for jumbo loans is similar to that of smaller mortgages, the requirements for jumbo mortgages are more stringent. Typically, jumbo mortgages require a high credit score and down payments are larger. The property’s appraisal must support the mortgage that the borrower wants. Applicants will need to show that their income and assets are sufficient to pay the mortgage, and will usually need to have a debt-to-income ratio of less than 45 percent. Jumbo borrowers may also need to have at least six months of payments in their bank accounts after closing.

There are advantages to jumbo mortgages though. Interest rates are at historical lows, and jumbo borrowers can take advantage of that. In addition, interest on loans up to $1 million is tax-deductible. The maximum loan amount is established by the lending institution, instead of the guidelines set by Freddie Mac and Fannie Mae. And because the loans aren’t conforming, the lending institution can frequently offer more flexibility in qualifying for the loan. And finally, jumbo loans are sold on the secondary market meaning your lender will continue to service your loan.

Better deals

At Embrace Home Loans, we can help our clients take full advantage of jumbo mortgages. We are experts in jumbo mortgage loans, and we have options that require only a 10 percent down payment, as well as avoiding private mortgage insurance (PMI). Eligible veterans may be able to take advantage of Veteran’s Administration (VA) jumbo mortgages, with low down payments and no mortgage insurance. And Embrace Home Loans currently feature low rates on 30-year fixed-rate mortgages.

So don’t let a price tag turn you away from the home you want. Contact us today at 800-620-6292 for information about jumbo Florida mortgage options available for you.

 

Florida Jumbo Loans

Property values in Florida can be some of the highest in the country, thanks to the beautiful beaches, warm weather and other amenities. Home buyers who are looking at buying a luxury home or refinancing their existing homes may want to consider a jumbo loan. Jumbo loans or mortgages are loans that exceed the conforming loan limits set by Freddie Mac and Fannie Mae, the two government-sponsored entities that buy mortgages from lenders. In most parts of the country, that limit is $417,000. Any mortgage loan that exceeds that amount is considered a jumbo loan.

Go big

Jumbo loans are becoming more available and more affordable. Jumbo loans have certain differences from conforming loans. The first, of course, is their size. Jumbo loans allow buyers to finance significantly more, and with this larger loan amount borrowers will typically get a slightly higher interest rate. In addition, qualifying for a jumbo loan normally requires:

  • Higher credit scores
  • Lower debt-to-income ratios
  • Higher cash reserves
  • Higher down payments

However, once you qualify, jumbo loans offer benefits beyond conventional loans, including:

  • Larger financing amounts, which can provide the convenience of a single mortgage rather than multiple mortgages.
  • Competitive interest rates and pricing.
  • Both fixed and adjustable rate options.
  • In-house underwriting and loan servicing, since Fannie Mae and Freddie Mac do not buy jumbo loans from mortgage lenders.

Find out more

Jumbo loans require more money up front, but they do offer other advantages to the right borrowers. Currently, jumbo loan rates are historically low, and interest on loans of up to $1 million may be tax-deductible. Low interest rates mean that homeowners who are refinancing their existing mortgages might be able to save significant amounts of money. And, of course, home buyers can get very attractive rates on new home purchases. For more information about jumbo loans from Embrace Home Loans, visit us at http://www.embracehomeloans.com/stephen-thaggard or call 800-333-3004, extension 3560.

Florida VA Jumbo Loans

VA loans are guaranteed by the Veteran’s Administration, and provide significant benefits to eligible veterans, service members and military families. One of the biggest benefits is that veterans can borrow up to $417,000 without making a down payment.

However, there are many properties in Florida that cost more than $417,000. Does that mean veterans can’t purchase those properties? No, because veterans can still use VA loans to buy more expensive properties, but they will need a down payment, though it’s still lower than the down payment required for conventional borrowers. These are called VA jumbo loans, and they can offer substantial savings to veterans who want to purchase higher-end homes.

Do the math
Let’s look at an example of a VA jumbo loan. If a veteran wants to buy a $600,000 home, he or she won’t be able to purchase it without a down payment since it exceeds the $417,000 limit. However, the down payment required is only 25 percent of the amount over the $417,000 limit. In our example, the purchase price is $183,000 over the limit. That means the down payment required is 25 percent of $183,000 or $45,750. Typically, jumbo conventional loans ask for a down payment of 10 percent of the purchase price, so for a $600,000 home, the down payment for a conventional jumbo loan would be $60,000.

In addition, a conventional jumbo loan requires private mortgage insurance (PMI), which will increase the monthly payment. And VA jumbo lenders typically charge lower interest rates than conventional jumbo lenders, which will further reduce the monthly payment and increase the overall savings.

Find out more
VA jumbo loans have the same eligibility requirements as normal VA loans. And individual lenders will set their own credit and income requirements, based on VA guidelines. If you’re eligible for a VA loan but want a larger property, contact Embrace Home Loans by visiting http://www.embracehomeloans.com/stephen-thaggard or calling us at 800-333-3004 extension 3560 and ask about a VA jumbo loan. This little-known benefit is a very cost-effective way for veterans to purchase more expensive properties.

Buyers save more with our Florida Jumbo mortgage loan options

Today’s FL mortgage markets have many new home buyers seeking mortgage loans that are well above the $417,000 conventional loan limits set by Fannie Mae and Freddie Mac.  From home buyers wanting to construct their dream home with a new home Builder, or others who simply want options for their next FL Jumbo mortgage; we have many options to choose from and the 2 most popular  depend on whether the buyer is a FL Veteran looking to purchase with our FL VA Jumbo loan.  Consider this.

Many FL jumbo mortgage loan programs require a 20%, or more, down payment.  I am sure those seeking a FL Jumbo mortgage loan can afford that down payment requirement, but what if there was a better way?  A way where you or your buyer could keep more of their hard earned money and still purchase the home of their dreams.  Well there is, and it begins with either our FL VA Jumbo Loan or our FL Jumbo Program.

  • Our VA Jumbo Loan allows a qualified Veteran to borrow more than $417,000!  In fact, regardless of which County your Veteran is building or purchasing their home, VA allows qualified Veterans to put as little as 25% of the difference between $417,000 and the purchase price.  The rest can be financed at a low FL VA fixed rate mortgage.  And remember, there is never a monthly mortgage insurance with a  Florida VA home loan.  Veterans can have an advantage with FL Jumbo loans.
  • One of our many FL Jumbo mortgage loans allows a home buyer the opportunity to purchase their dream home with as little as 10% in down payment.  The interest rate is very competitive and there is no private mortgage insurance requirement; even with only 10% down payment!

If you are purchasing your dream home, have a home builder in Brevard County or anywhere else in Florida, please make sure you call or email Stephen Thaggard and get his perspective.  He will provide an upfront estimate as well as immediate  prequalification or pre-approval letters.  You can reach him almost anytime via email or by calling or texting 407.733.6425 or toll-free at 800.333.3004 ext. 3560.

Stephen Thaggard, NMLS 356309, Sr. Loan Officer, licensed in Florida

Embrace Home Loans, NMLS 2184, www.nmlsconsumeraccess.org,

5500 Murrell Road Suite 201, Viera, FL 32940

 

FL jumbo mortgage with less than 20% down payment

So you have owned a FL home  in the past 3 years; you’re not a first time home buyer.  In fact, you suddenly realize that it’s time  to move up and buy the home you have always dreamed about here in Florida.  Don’t let large down payment requirements keep you from your dream.  We have a special FL Jumbo mortgage that allows you to put as little as 10% towards down payment.  Consider this…

  • FL jumbo mortgage loan amount up to $750,000 with only 10% down payment requirement
  • No mortgage insurance is required
  • Seller can contribute up to 3% of the sales price towards your closing costs and prepaids (escrows)
  • Rate is fixed for a full 10 years
  • No prepayment penalty

Keep in mind that this is only one of several FL jumbo mortgage options available,  so make sure to explore all of your jumbo mortgage loan options.  If you or your buyer is seeking a FL jumbo mortgage loan, please make sure to call 800.333.3004 ext 3560, ask for Stephen Thaggard or email directly at sthaggard@embracehomeloans.com.

Stephen Thaggard, NMLS 356309,  Sr Loan Officer, licensed in Florida

Embrace Home Loans, NMLS 2184, www.nmlsconsumeraccess.org,  485 N Keller Road, Suite 550, Maitland, FL 32751