Question 1

What is the conforming loan limit in Monterey County?

Accepted Answer

The FHFA sets conforming limits annually. Check current limits before you shop — Pacific Grove prices often exceed standard county caps.

Question 2

Are jumbo rates always higher than conventional rates?

Accepted Answer

Not always. Jumbo rates move independently. Strong borrower profiles sometimes get jumbo rates below conforming. Rates vary by borrower profile and market conditions.

Question 3

How much do I need for a down payment on a jumbo loan?

Accepted Answer

Most jumbo lenders want 10-20% down. Some programs allow less, but expect tighter terms and higher reserves requirements.

Question 4

Can I use gift funds on a jumbo loan?

Accepted Answer

Some lenders allow gift funds on jumbo, but most want to see a portion from your own assets. Guidelines vary by lender.

Question 5

Do jumbo loans take longer to close than conventional?

Accepted Answer

They can. Underwriting is manual and more detailed. Plan for extra time, especially if your income is complex.

Question 6

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

Accepted Answer

Conventional loans start at 620, but better rates kick in above 740. Jumbo typically requires 700 at a minimum.

Conventional vs Jumbo Loans in Pacific Grove, CA