Question 1

What is the conforming loan limit in Placer County?

Accepted Answer

FHFA sets conforming limits annually. Borrow above that number in Placer County and you're in jumbo territory.

Question 2

Do jumbo loans have higher rates than conventional?

Accepted Answer

Not always. Jumbo rates are lender-specific and sometimes beat conforming rates. Rates vary by borrower profile and market conditions.

Question 3

How much do I need in reserves for a jumbo loan?

Accepted Answer

Most jumbo lenders want 12 to 24 months of mortgage payments in the bank after closing. This is a firm requirement.

Question 4

Can I put less than 20% down on a jumbo loan?

Accepted Answer

Some lenders allow 10% down on jumbo. Expect stricter credit requirements and possible mortgage insurance at that level.

Question 5

What credit score do I need for a conventional loan?

Accepted Answer

Most conventional loans require a 620 minimum. Better scores get better rates — 740+ is where pricing really improves.

Question 6

Is a jumbo loan harder to get approved for?

Accepted Answer

Yes. Lenders underwrite jumbo loans manually and set their own overlays. Income, assets, and credit all get heavier scrutiny.

Conventional vs Jumbo Loans in Lincoln, CA