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Jumbo Loans in Hanford
Hanford sits in California's Central Valley where conforming loan limits max out at $806,500 in 2025. Properties above that threshold require jumbo financing.
Most jumbo volume in Kings County comes from ag-land estates and newer construction in northwest Hanford. These deals need different underwriting than standard conforming loans.
Lenders treat Central Valley jumbos differently than coastal markets. Tighter debt ratios and larger reserves are standard here.
Expect credit score minimums around 700, though competitive rates start at 740. Most lenders want 20% down, some require 25% on properties over $1.5 million.
Debt-to-income caps at 43% for most jumbo programs. Reserves matter more than conforming—plan on showing 12 months PITI in liquid assets.
Income documentation runs deeper. Two years tax returns, W-2s, and recent pay stubs are baseline. Self-employed borrowers need full CPA-prepared returns.
Not every lender prices jumbos the same in Hanford. Regional banks often beat big nationals on properties under $1.2 million in Kings County.
Portfolio lenders give more flexibility on rural acreage and ag-adjacent properties. They underwrite the land value differently than cookie-cutter suburban homes.
Rate spread between jumbo and conforming has compressed to 0.25-0.50% in recent years. Shopping multiple lenders matters—I've seen 0.375% variance on identical scenarios.
Some lenders cap at $2 million, others go to $4 million. Know your loan amount before starting the search.
Hanford jumbo deals close smoother when appraisals come in clean. Limited comps on higher-end properties can stall approval—order appraisal early.
I structure these loans differently than Bay Area jumbos. Asset depletion and bank statement programs rarely make sense here given property values and local income levels.
Wells and septic systems add appraisal complexity on rural jumbos. Lenders want verification both function properly, which extends timelines 7-10 days.
ARM products can cut rates by 0.50-0.75% versus 30-year fixed. Worth considering if you plan to sell within seven years.
Conforming loans win on lower rates and easier qualification when you're under $806,500. If you're within $50k of that limit, larger down payment beats jumbo financing.
Interest-only jumbos exist but make limited sense in Hanford. Payment savings are modest and most lenders add 0.25-0.375% to the rate.
Two-loan structures used to dodge jumbo—a conforming first and HELOC second—rarely pencil out anymore. Rate difference doesn't justify the complexity.
Property tax runs about 1.1% in Hanford, lower than coastal California. This helps debt ratios on jumbo applications where every percentage point matters.
Kings County appraisers lean conservative on high-end properties. Expect scrutiny on any comp over $900k given limited sales volume.
Flood zone properties require specialized insurance that impacts qualification. FEMA maps show scattered exposure near irrigation canals—check before you write an offer.
Local title companies process jumbo closings slower than conforming. Build in 45-day close minimum, 60 days safer for complex deals.
Anything above $806,500 is jumbo in Kings County. That's the 2025 conforming limit for this area.
Most lenders require 20% minimum. Some programs allow 10-15% down but add PMI and higher rates.
Plan on 12 months PITI in liquid assets. Lenders want to see you can handle payments if income disrupts.
Usually 0.25-0.50% higher. Rate gap has narrowed significantly over the past five years.
Yes, but you need portfolio lenders who understand ag-area properties. Wells and septic systems require extra documentation.
700 minimum for most programs. You'll get best pricing at 740 or higher.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.