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in Lemoore, CA
Most Lemoore buyers use conventional loans because home prices here stay well under conforming limits. Jumbo loans only come into play for high-value properties or land purchases that push past $806,500.
The line between these two matters more than you think. Once you cross into jumbo territory, you face tougher credit standards and different rate structures.
Conventional loans follow Fannie Mae and Freddie Mac guidelines. You can put down as little as 3% with credit scores from 620, though 5-10% down gets better rates.
These loans cap at $806,500 in Kings County for single-family homes. That covers nearly every property in Lemoore, from starter homes near the naval base to larger estates on the city's west side.
Rates vary by borrower profile and market conditions, but conventional loans typically offer the most competitive pricing. You'll pay PMI if you put down less than 20%, but you can drop it once you hit that equity threshold.
Jumbo loans exceed conforming limits and don't get sold to Fannie or Freddie. Lenders keep these on their books or sell them to private investors, which means stricter underwriting.
In Lemoore, you'll only need jumbo financing for high-end ranch properties, luxury builds, or large land purchases. Expect to put down 10-20% minimum, with most lenders wanting 680+ credit scores.
These loans offer flexibility on loan amounts with no upper ceiling. Some lenders price jumbos competitively against conventional rates, especially for borrowers with strong credit and cash reserves.
The biggest split is loan limits. Conventional caps at $806,500 in Kings County, while jumbo starts where conventional ends and goes as high as you qualify.
Credit and cash requirements jump significantly with jumbo loans. Most lenders want 680+ scores versus 620 for conventional, plus larger reserves to cover six months of payments.
Rates vary by borrower profile and market conditions. Conventional loans used to always beat jumbo pricing, but that gap has narrowed. Strong borrowers sometimes get better jumbo rates than marginal conventional borrowers.
Underwriting timelines differ too. Conventional loans close in 21-30 days with automated underwriting. Jumbo loans need manual review and take 30-45 days since lenders scrutinize every income source and asset.
If your Lemoore purchase stays under $806,500, conventional wins every time. You get easier qualifying, faster closes, and lower down payment options.
Jumbo only makes sense when you need it. If you're buying a $1.2 million ranch property or building custom on large acreage, you have no choice but to go jumbo.
Bridge buyers sometimes think they need jumbo when they don't. If you're at $850,000, consider finding a property under the limit or increasing your down payment to bring the loan amount below $806,500.
The conforming loan limit in Kings County is $806,500 for single-family homes. That covers most properties in Lemoore.
Not always. Borrowers with 740+ credit and 20% down often get jumbo rates close to or below conventional rates.
Yes. If your purchase price would push you just over the limit, a larger down payment keeps you in conventional territory.
Lenders carry more risk without Fannie Mae backing. They protect themselves by requiring stronger borrower profiles.
Most lenders want 10-20% down for jumbo loans. Higher down payments often unlock better rates and easier approval.