Jumbo Mortgage Austin Blog

Jumbo Mortgage Purchase example of what kind of rate a client is looking at this week. The sales price is 725K and the client wishes to make a 10% down payment. His credit scores are great over 740 and he wants to get an adjustable 5 year ARM. The current rate is 6.0%. This rate is almost comparable to that of conventional mortgage. Many banks don’t even offer such a program and most mortgage brokers run from them. This is from a direct, fast and secure wholesale mortgage lender who offers lower interest rates and closing costs than a retail bank. This mortgage does however come with mortgage insurance, but the alternate is making an additional of $36,250 for a mortgage at 85% LTV without mortgage insurance. With today’s environment as it as, keeping your assets close is becoming more common.

30 Year fixed jumbo mortgages continue to have no appetite of purchase on the secondary market. If banks still are able to accommodate such a jumbo loan, their pricing normally starts in the 8’s with at least 1 discount point used to get to this rate. I work with one bank which offers rates in the 7’s if the jumbo mortgage meets the following conditions. The mortgage must be less than 850K and the down payment must be at least 15%. If you desire to stay in your home longer than 7 years this would be the very best option for you. There are still a hand full of banks which have great jumbo programs on 3,5 and 7 year adjustable mortgages. If you are looking for stability in mortgage the fixed 30 year mortgage is the best.

Josh Kohl

I am working with client who is refinancing her jumbo mortgage and pulling out cash to pay off her Hummer and Corvette with cashout from her mortgage. The client is currently on a 6.9 fixed rate and wants to refinance to a 5/1 ARM @ 6.8% with no prepayment penalty. Her goal is include the debts of both cars into the mortgage refinace. This is great loan because she plans to sell the home in less than 5 years and to include the two cars as part of the refinance and this will save her $1200 a month. Please contact us with any jumbo mortgage questions.

Josh Kohl

I am working on a Jumbo mortgage purchase for a Gentleman who is buying a 1,400,000 dollar home. He is making a 400,001 down payment and wants a 7/1 Interest Only Adjustable mortgage. He is qualified full documentation and his mortgage rate is 6.5%. His mortgage payment will be 5,411/month. In the current mortgage environment it is important to get in touch with a jumbo mortgage planner who knows which banks offer the best jumbo mortgage rates. Please contact us with any rate or guideline questions in regards to jumbo mortgages.

Josh Kohl