Question 1

What is the jumbo loan limit in Del Rey Oaks?

Accepted Answer

Jumbo loans start at $806,501 in Monterey County. That's the conforming limit for conventional financing in this market as of 2026.

Question 2

Can I avoid PMI with a jumbo loan?

Accepted Answer

Yes, most jumbo loans skip PMI with 20% down. Conventional loans require PMI below that threshold regardless of loan size.

Question 3

Which loan type has better rates?

Accepted Answer

Conventional loans price lower due to agency backing. Jumbo rates run 0.25-0.50% higher but vary by lender and borrower profile.

Question 4

How much reserves do jumbo lenders require?

Accepted Answer

Expect 6-12 months of housing payments in reserves. Conventional loans accept lower reserves or waive them with strong credit.

Question 5

Can I switch from jumbo to conventional if I increase my down payment?

Accepted Answer

Yes, if you bring enough down to drop the loan under $806,500. That shifts you into conforming territory with better pricing.

Conventional vs Jumbo Loans in Del Rey Oaks: Which Fits Your Budget?