Question 1

What's the monthly payment on a $1.38M jumbo loan at today's rates?

Accepted Answer

Principal and interest run $6,888 per month at 6.375%. That's on a $1.104M loan, 20% down, 740 FICO, 30-year fixed. Add property tax, insurance, and HOA—your total housing payment will be higher. The $5,212 in discount points is paid upfront.

Question 2

Do I need 20% down to qualify for a jumbo loan?

Accepted Answer

Yes. Jumbo lenders require 20% down minimum. That's $276K on a $1.38M purchase. Some lenders go to 25% down for properties over $1.5M. Less than 20% down disqualifies you from jumbo lending entirely.

Question 3

What credit score do I need for a jumbo mortgage?

Accepted Answer

740 FICO or higher. Some lenders will go to 720 with strong income and reserves, but 740 is the standard floor. Jumbo underwriting is stricter than conventional—a single late payment or high utilization can hurt your approval.

Question 4

How long does a jumbo loan take to close?

Accepted Answer

Plan for 35–45 days. Jumbo lenders move slower than retail banks because they hold loans on their books. Appraisals take longer, underwriting is more thorough, and documentation is extensive. Don't expect a 21-day close.

Question 5

Is a jumbo 30-year fixed better than a 5/1 ARM at this price?

Accepted Answer

If you're staying ten years or longer, the fixed rate wins. ARMs start lower but adjust after five years—your payment could jump $500+ monthly if rates rise. The fixed rate costs more upfront but protects you from rate shock.

Jumbo 30-year fixed mortgages in El Cajon: rates, qualification, and when they make sense