Question 1

What is the conforming loan limit in Yolo County?

Accepted Answer

The FHFA sets conforming limits annually. Any loan above that limit in Yolo County requires jumbo financing.

Question 2

Do jumbo loans always have higher rates than conventional?

Accepted Answer

Not always. Jumbo rates sometimes match or beat conforming rates depending on the lender. Rates vary by borrower profile and market conditions.

Question 3

Can I put 10% down on a jumbo loan?

Accepted Answer

Some lenders allow 10% down on jumbo loans. Expect stricter credit and reserve requirements at that down payment level.

Question 4

Is it harder to get approved for a jumbo loan?

Accepted Answer

Yes. Jumbo loans involve manual underwriting and tighter standards. A 700+ credit score and solid reserves are typically non-negotiable.

Question 5

Which loan is better for a West Sacramento home purchase?

Accepted Answer

It depends entirely on the purchase price. Your loan amount relative to the conforming limit determines which product applies.

Question 6

Do conventional loans require mortgage insurance?

Accepted Answer

PMI is required when you put down less than 20%. It drops off once you reach 20% equity in the home.

Conventional vs Jumbo Loans in West Sacramento