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in Fairfield, CA
Fairfield sits in a price range where some buyers stay under conforming limits while others need jumbo financing. The line between conventional and jumbo matters because it changes your rate, down payment, and approval requirements.
In 2025, the conforming loan limit is $806,500 for Solano County single-family homes. Properties priced above that threshold require jumbo loans, which follow different underwriting rules and often come with stricter standards.
Conventional loans work for Fairfield homes priced at $806,500 or below. You can put down as little as 3% if you're a first-time buyer, though 5-10% down is more common for stronger terms.
These loans follow Fannie Mae and Freddie Mac guidelines. That means predictable approval standards: 620 minimum credit score for most programs, debt-to-income under 50%, and standard income documentation.
PMI applies when you put down less than 20%, but it drops off once you hit 20% equity. Rates vary by borrower profile and market conditions, but conventional loans typically offer the most competitive pricing for properties under the limit.
Jumbo loans finance Fairfield properties above $806,500. These loans don't conform to agency limits, so lenders set their own rules and price them differently.
Expect stricter requirements: most lenders want 10-20% down, 700+ credit scores, and debt-to-income ratios below 43%. You'll also need bigger cash reserves—typically 6-12 months of mortgage payments sitting in the bank after closing.
Jumbo rates used to run higher than conventional, but that gap has narrowed. Some borrowers with strong credit profiles now get jumbo rates close to conventional pricing, though approval standards remain tougher.
The biggest split comes at down payment and credit requirements. Conventional loans accept 3-5% down with 620 credit. Jumbo loans typically require 10-20% down with 700+ scores, plus substantial reserves.
Approval timelines differ too. Conventional loans follow automated underwriting through standard agency systems. Jumbo loans get manual underwriting, meaning more documentation review and longer processing windows.
Rate differences narrow as your credit improves. A borrower with 760+ credit and 20% down might see similar rates on both loan types. Below 740 credit or with smaller down payments, conventional loans usually price better.
If your Fairfield home costs under $806,500, stick with conventional. You'll get easier approval standards, smaller down payments, and faster processing with no benefit to choosing jumbo.
Above that price point, jumbo becomes your only non-government option. Make sure you have 10-20% down, strong credit above 700, and reserves to cover 6-12 months of payments before you start shopping.
Some Fairfield buyers shopping near the $806,500 mark consider staying under the limit to access conventional financing. Running both scenarios with a broker shows you whether stretching into jumbo territory makes financial sense for your situation.
$806,500 for single-family homes in Solano County. Loans above that amount are considered jumbo and follow different rules.
Yes, but expect higher rates and stricter approval standards compared to 20% down. Most lenders prefer 15-20% for best pricing.
Not anymore. Borrowers with 740+ credit and 20% down often see jumbo rates close to conventional pricing, though approval remains tougher.
Most lenders want 700 minimum, with best rates starting at 740. Some programs accept 680 with compensating factors like larger down payments.
Typically 6-12 months of mortgage payments after closing. Higher loan amounts and lower credit scores push you toward the 12-month end.
Run the numbers first. Sometimes the right home above the limit makes more sense than settling for a property under $806,500 just to access conventional financing.