Question 1

What credit score do I need for a jumbo loan in Norwalk?

Accepted Answer

Most lenders require 700+ for competitive rates. You can qualify at 680 with larger down payments, but expect rate increases of 0.375-0.50%.

Question 2

How much should I put down on a jumbo loan?

Accepted Answer

20% down is minimum for most programs. Putting down 25-30% unlocks better rates and easier approval, especially if your credit sits below 720.

Question 3

Do jumbo loans have higher interest rates than conforming loans?

Accepted Answer

Not always. Strong borrowers with 20%+ down often see jumbo rates within 0.125% of conforming rates. Rates vary by borrower profile and market conditions.

Question 4

What are reserve requirements for jumbo loans?

Accepted Answer

Expect to show 12-18 months of mortgage payments in liquid assets after closing. Investment properties or multiple mortgages push that to 24+ months.

Question 5

Can self-employed borrowers get jumbo loans in Norwalk?

Accepted Answer

Yes, but you need clean two-year tax returns showing stable income. Lenders average your income across both years and scrutinize business write-offs closely.

Question 6

How long does jumbo loan approval take?

Accepted Answer

Plan for 35-45 days from application to closing. Underwriting takes longer than conforming loans due to additional documentation and appraisal requirements.

Jumbo Loans in Norwalk: Financing Above Conforming Limits in Los Angeles County