Question 1

What are the current conforming loan limits in San Mateo County?

Accepted Answer

Conforming loan limits vary by county and change annually. San Mateo County often qualifies for higher limits due to elevated property values. Contact SRK CAPITAL for current limits specific to your purchase.

Question 2

Can I avoid PMI with a jumbo loan?

Accepted Answer

Jumbo loans typically don't require PMI since they're not backed by government entities. However, lenders may require larger down payments or higher reserves to offset the increased risk of larger loan amounts.

Question 3

Are jumbo loan rates higher than conventional rates?

Accepted Answer

Not always. Rates vary by borrower profile and market conditions. Strong borrowers may find competitive jumbo rates. Your specific rate depends on credit score, down payment, and overall financial strength.

Question 4

How much should I have in reserves for a Hillsborough home purchase?

Accepted Answer

Conventional loans may require 2-6 months of reserves. Jumbo loans often require 6-12 months or more. The exact amount depends on your loan size, down payment, and lender requirements.

Question 5

Can I switch from conventional to jumbo if my price range changes?

Accepted Answer

Yes, you can adjust your financing approach as your home search evolves. Working with an experienced broker ensures you're prepared for either scenario and can pivot quickly when needed.

Conventional vs Jumbo Loans in Hillsborough: Which Financing Fits Your Home Purchase?