Question 1

What is the conforming loan limit in Santa Barbara County?

Accepted Answer

The FHFA sets conforming limits annually. Anything above that limit in Santa Barbara County requires jumbo financing.

Question 2

Do jumbo loans have higher rates than conventional loans?

Accepted Answer

Not always. Strong borrowers sometimes get jumbo rates competitive with conventional. Rates vary by borrower profile and market conditions.

Question 3

What credit score do I need for a jumbo loan in Carpinteria?

Accepted Answer

Most jumbo lenders want 700 or higher. Some will go lower with larger down payments and strong reserves.

Question 4

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

Accepted Answer

Some lenders allow 10% down on jumbo loans. Expect stricter reserve requirements and higher scrutiny at lower down payments.

Question 5

Is a conventional loan available for a $1.5M home in Carpinteria?

Accepted Answer

Only if the loan amount stays at or below the conforming limit. Any balance above requires jumbo financing.

Question 6

What cash reserves do jumbo lenders typically require?

Accepted Answer

Most jumbo lenders want 12 months of payments in reserve. Some high-balance loans require even more.

Conventional vs Jumbo Loans in Carpinteria, CA