Question 1

What is the conforming loan limit in Santa Clara County?

Accepted Answer

Santa Clara County qualifies for a high-cost area limit set by the FHFA annually. Anything above that limit requires a jumbo loan.

Question 2

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

Accepted Answer

Some lenders allow 10% down on jumbo loans. Expect stricter credit and reserve requirements when you go below 20%.

Question 3

Which loan has the lower interest rate?

Accepted Answer

It depends on the lender and your profile. Jumbo rates are not always higher — shopping across lenders matters. Rates vary by borrower profile and market conditions.

Question 4

Do both loan types require an appraisal?

Accepted Answer

Yes. Both conventional and jumbo loans require a property appraisal. Jumbo loans sometimes require two independent appraisals on higher-value homes.

Question 5

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

Accepted Answer

Most jumbo lenders want 700 or higher. Some require 720+. A lower score limits your lender options significantly.

Question 6

How many months of reserves do jumbo loans require?

Accepted Answer

Most jumbo lenders require 12 months of housing payments in reserves. Conventional loans typically require two months or less.

Conventional vs Jumbo Loans in Gilroy, CA