Question 1

What's the monthly payment on a $1.1M jumbo loan in Redding?

Accepted Answer

At 6.375% fixed, principal and interest run $6,863 per month. Add property tax, insurance, and HOA — total housing cost will be $8,500–9,200 depending on the property. This assumes 740 FICO and 20% down.

Question 2

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

Accepted Answer

Yes. Most jumbo lenders require 20% down minimum. Some portfolio lenders go to 15% with 750+ FICO and strong reserves, but 20% is the standard floor. On a $1.375M purchase, that's $275,000 down.

Question 3

How long does a jumbo loan take to close?

Accepted Answer

Plan for 45–60 days. Jumbo underwriting is manual and thorough. Appraisals in Redding take longer than urban markets. Expect more documentation requests than a conventional loan.

Question 4

Can I use my retirement account for the down payment?

Accepted Answer

No. Jumbo lenders require seasoned funds — money in your account for at least 60 days before closing. Retirement account withdrawals don't count. Savings, checking, and investment accounts do.

Question 5

Is a jumbo loan more expensive than conventional?

Accepted Answer

Yes, the rate is higher. Jumbo runs roughly 50–75 basis points above conforming. On a $1.1M loan, that's $550–825 more per year in interest. But jumbo is the only option above $832,750.

Jumbo loans in Redding: 6.375% fixed for homes above $832K