Question 1

What is the conforming loan limit in Monterey County?

Accepted Answer

The FHFA sets conforming limits annually. Borrowing above that threshold means you need a jumbo loan.

Question 2

Do jumbo loans require a larger down payment?

Accepted Answer

Most jumbo lenders want 10-20% down. Some require more depending on loan size and credit profile.

Question 3

Are jumbo rates always higher than conventional rates?

Accepted Answer

Not always. Rates vary by lender, credit profile, and market conditions. We compare across 200+ wholesale lenders.

Question 4

Can I use gift funds on a jumbo loan?

Accepted Answer

Gift fund rules vary by lender. Many jumbo lenders require that at least some reserves come from your own funds.

Question 5

How much in reserves do jumbo lenders typically require?

Accepted Answer

Most jumbo lenders want 12 months of mortgage payments in verified liquid reserves. Some require more for higher loan amounts.

Question 6

Which loan type is faster to close in Carmel?

Accepted Answer

Conventional loans follow standardized guidelines and can close faster. Jumbo loans often involve more review time due to manual underwriting.

Conventional vs Jumbo Loans in Carmel By The Sea