A “jumbo” (aka non-conforming) mortgage typically requires at least 20% down payment. Mortgage Master is now offering a non-conforming jumbo mortgage that will go up to a 90% loan to value (10% down payment) with lender paid mortgage insurance (lpmi). In the greater Seattle/King County area, jumbo mortgages are any loan amounts over $506,000 for a single family dwelling (this is also true for homes in Snohomish and Pierce County). In most other Washington state counties, the conforming loan limit is $417,000. Click here for a complete list of conforming loan limits in Washington state for 2014.
Here are some of the program details about the 10% down jumbo mortgage that we offer:
- 10/1 Adjustable Rate Mortgage (fixed for 120 months with caps of 5/2/5)
- LPMI (lender paid mortgage insurance priced into the rate)
- Loan to value up to 90%
- Loan amounts up to $750,000 with credit scores of 740 or higher
- Loan amounts up to $625,500 with credit scores of 720 – 739.
- Available for purchases and rate-term refinances
- Primary residence – owner occupied only.
- 41% total debt to income ratio or lower.
- 6 months of PITI reserves required.
- First time home buyers are not allowed
- Sellers may contribute up to 3% towards allowable closing cost.
If you would like me to provide you with a rate quote for a jumbo non-conforming, or any mortgage program for a home located in Washington state, please click here.
Based on a sales price of $833,500 and a loan amount of $750,000 for a home located in greater Seattle, the rate for 10/1 ARM Jumbo with 10% down, I’m quoting:
- 4.875% (apr 4.393%) priced with 0.867 discount points.
- $3,969.06 is the principal and interest payment based on a loan amount of $750,000 and rate of 4.875% for 10 years.
- Rate will adjust at 121st month with a cap of 5% (cannot go higher or lower than 5%) and will adjust annually up or down by no more than 2% every year thereafter. The highest the rate can ever adjust to in the lifetime of this scenario is by 5% (9.875% = 4.875% plus 5.000%). 360 total monthly payments.
- $83,500 down payment on a sales price of $833,500 is 10.018% down payment.
Click here for a detailed rate quote based on this scenario based on rates and closing cost from February 7, 2014. Remember, mortgage rates and programs change constantly. For current rates based on your personal scenario on a home in Washington state, please click here.