Question 1

What is the conforming loan limit in Monterey County?

Accepted Answer

The 2025 conforming limit for Monterey County is $806,500. Anything above that requires a jumbo loan.

Question 2

Do jumbo loans have higher interest rates than conventional?

Accepted Answer

Generally yes. Jumbo rates carry a spread above conforming rates. Rates vary by borrower profile and market conditions.

Question 3

How much down payment does a jumbo loan require?

Accepted Answer

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

Question 4

Can I avoid jumbo by splitting into two loans?

Accepted Answer

Yes. A piggyback loan structure — one conventional plus a second — can keep both loans under conforming limits.

Question 5

What credit score do I need for a conventional loan in Monterey?

Accepted Answer

Minimum is 620, but 740+ gets you the best conventional rates. Jumbo lenders typically want 700 or higher.

Question 6

Which loan is harder to qualify for?

Accepted Answer

Jumbo, by a wide margin. More reserves, stricter credit standards, and lender-specific overlays make it tougher.

Conventional vs Jumbo Loans in Monterey, CA