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in El Segundo, CA
El Segundo sits between LAX and Manhattan Beach, where home prices force most buyers to choose between conventional financing and jumbo territory. The 2024 conforming loan limit is $766,550 for a single-family home in Los Angeles County.
Cross that threshold and you enter jumbo loan requirements — tougher credit standards, bigger down payments, and stricter reserves. But you also unlock access to properties that conventional loans can't touch.
Conventional loans work for most El Segundo condos and smaller single-family homes. You can put down as little as 3% with strong credit, though 20% avoids PMI and gets better rates.
Lenders want 620+ credit for standard pricing, 43% debt-to-income max, and two months reserves. Rates typically beat government loans by 0.125% to 0.25% when you qualify.
Jumbo loans finance anything above $766,550 — most detached homes near the beach or aircraft district. Lenders price these individually since they can't sell them to Fannie or Freddie.
Expect 700+ credit minimums, 10-20% down depending on loan size, and 6-12 months reserves. Rates run 0.25% to 0.75% higher than conforming, though some lenders price jumbos aggressively to compete.
Credit and reserves separate these programs most. Conventional accepts 620 credit with two months reserves. Jumbo wants 700+ credit and six months minimum — some lenders ask for twelve on loans above $2 million.
Down payment flexibility differs too. Conventional allows 3% down through certain programs. Jumbo starts at 10% and often requires 20% for amounts above $1.5 million or investment properties.
Stay conventional if you can. Properties under $766,550 qualify for better rates, lower credit requirements, and easier approval. Most El Segundo condos and townhomes fall in this range.
Go jumbo when the home demands it — single-family near the beach or upgraded properties in prime blocks. Build your credit to 720+, save twelve months reserves, and put down 20% to get competitive pricing. Rates vary by borrower profile and market conditions.
$766,550 for a single-family home in Los Angeles County. Anything above that requires jumbo financing.
Yes, some lenders allow 10% down on jumbos up to $1.5 million. Above that, expect 20% minimum.
Usually, but not always. Strong borrowers with 740+ credit sometimes see jumbo rates match or beat conventional when lenders compete for the business.
Six months minimum, twelve preferred. That's post-closing reserves covering principal, interest, taxes, and insurance.
Put down 20%. Anything less requires PMI until you hit 20% equity through payments or appreciation.