Question 1

What is the conforming loan limit in Santa Barbara County?

Accepted Answer

The FHFA sets conforming limits annually. Check the current limit for Santa Barbara County — it determines whether you need conventional or jumbo financing.

Question 2

Are jumbo loan rates higher than conventional rates?

Accepted Answer

Not always. Strong borrowers with 20% down and 760+ credit can get jumbo rates that match or beat conventional. Rates vary by borrower profile and market conditions.

Question 3

What credit score do I need for a jumbo loan?

Accepted Answer

Most jumbo lenders want 700 at minimum. A 740 or higher gives you access to better pricing and more lender options.

Question 4

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

Accepted Answer

Some lenders allow 10% down on jumbo. Expect stricter reserve requirements and possibly a higher rate when putting less down.

Question 5

Do jumbo loans require more documentation?

Accepted Answer

Yes. Lenders hold jumbo loans on their own books. Expect full income docs, 12 months of reserves, and a thorough asset review.

Question 6

Can I get a jumbo loan as a self-employed borrower?

Accepted Answer

Yes, but it's trickier. Lenders will scrutinize two years of tax returns closely. Bank statement options exist for some jumbo programs.

Conventional vs Jumbo Loans in Santa Barbara