Question 1

What is the conforming loan limit for Alameda County?

Accepted Answer

Alameda County qualifies for a high-cost conforming limit set by the FHFA. Loans above that limit require jumbo financing.

Question 2

Do jumbo loans always have higher rates than conventional?

Accepted Answer

Not always. Jumbo rates can be competitive for strong borrowers. Rates vary by borrower profile and market conditions.

Question 3

Can I put less than 20% down on a jumbo loan?

Accepted Answer

Some lenders allow 10% down on jumbo loans. Expect stricter reserve and credit requirements when going below 20%.

Question 4

Does PMI apply to jumbo loans?

Accepted Answer

Traditional PMI doesn't apply to jumbo loans. Some lenders use alternative structures like higher rates instead of a separate PMI premium.

Question 5

Which loan type is faster to close?

Accepted Answer

Conventional loans typically close faster. Jumbo underwriting is more intensive and can add time to the process.

Conventional vs Jumbo Loans in Oakland, CA