Question 1

What is the conforming loan limit in Stanislaus County?

Accepted Answer

The limit varies by year and county designation. A broker confirms the current cap when you apply, since it resets annually.

Question 2

Can I avoid PMI on a conventional loan?

Accepted Answer

Yes, by putting down 20% or more. Below that threshold, PMI applies until you reach 20% equity through payments or appreciation.

Question 3

Do jumbo loans always have higher rates?

Accepted Answer

Not always. Strong credit and low leverage can yield jumbo rates near conventional. Rates vary by borrower profile and market conditions.

Question 4

How much reserves do I need for a jumbo loan?

Accepted Answer

Most lenders require 6-12 months of mortgage payments in liquid assets. Investment properties or high loan amounts can push that to 18+ months.

Question 5

Can I refinance a jumbo loan to conventional later?

Accepted Answer

Only if your balance drops below the conforming limit through paydown or appreciation. Otherwise, it stays jumbo through refinancing.

Conventional vs Jumbo Loans in Waterford: Which Fits Your Budget?