Owasso Jumbo Loans Purchase Million Dollar Homes
For those who are considering buying a half million dollars plus home, then they should consider our Owasso Jumbo loans. At 1st Capital Mortgage, we provide a wide range of loan and lending options. If you are someone who want to buy a more expensive home, then you will likely need to use a jumbo loan for your purchase. If you like to learn more details about Jumbo loans or various loan packages, the give our team a call today. Our representatives would love to help you select the best loan in order to purchase your dream home. You can reach our team by dialing 918-274-1519 to learn more about our various loans that we have available.
This article will cover all the details of Owasso Jumbo loans. We will breakdown the necessary information that you need to know before making a decision on which loan you will pursue. Basically, a jumbo loan is a loan that exceeds the maximum loan limits of most loans. More specifically, a jumbo loan will exceed the loan limits set by the federal organizations Fanny Mae and Freddie Mac. These organizations have placed specific loan limits on conventional loans. A jumbo loan is still a form of a conventional loan, but it exceeds the loan limits set by more traditional conventional loans. A jumbo loan is designed for someone who wants to buy a very expensive home in the half million dollar or more range.
Owasso Jumbo loans usually carries a higher rate than other loans. This is one of the first things that make them different from the other loan options that are out there. Rates on jumbo loans typically are higher than other loan rates because these homes are often much more expensive than other homes. Because these homes are more expensive, the rate may be higher for these loans because there is more at risk with the lending institution. The reason why the rates are higher is because the total dollar amount needed to cover the cost of the home is often much higher and the higher priced real estate may have a slower sales cycle.
There are two reasons why someone should consider requesting our Owasso Jumbo loans. The first of these reasons is if someone is purchasing a home in Owasso that is more expensive than the loan limits allowed with conventional loans. For those wanting to buy a home in the half million dollars plus range, a jumbo loan would be right for you. The reason why is because your home exceeds the maximum loan amount set by Fannie Mae and Freddie Mac on conventional loans. Furthermore, if your home requires a lot of high-end custom construction work, then you should consider a jumbo loan. Second, because jumbo loans have been formed in order to exceed the maximum loan limits of more traditional loans, they are perfect for those who want to buy a more expensive home.
The next important detail about Owasso Jumbo loans is that they require a higher down payment. Traditional loans do not necessarily require higher down payments, but a jumbo loan will always require one. The reason why is because jumbo loans are used to purchase a more expensive home and as such, there is more risk for the lender, and a higher down payment is required. Most conventional loans require as low as a 3% minimum down payment. Jumbo loans typically require a down payment of at least 20% because mortgage insurance to protect the lender is not covered with the higher amount of a jumbo loan.
In order to purchase an Owasso Jumbo loan, the buyer must have a relatively high FICO credit score. Excellent FICO credit score is required because the loan amount is much higher and potentially riskier. Because the loan amount is so high, the buyer must be able to demonstrate a responsible pattern of debt repayment and excellent credit history. Typically, those with a low FICO score have a poorer credit history. This indicates that once they’ve been lending money, they may not able to pay it back on time or at all. Jumbo loans require excellent FICO credit scores.
It is also important to know that mortgage insurance is not available for Owasso Jumbo loans. Because Owasso Jumbo loans are used for very expensive purchases, mortgage insurance is not available for the lenders. Before making a decision on which loan would be best suited for you, you must take into consideration that mortgage insurance is not available for those using a jumbo loan and therefore the lending organization will require at least a 20% down payment to reduce their risks. Mortgage insurance is helpful for lenders and is designed to help having to absorb all of the loss if the borrower defaults on their mortgage.
There are many types of other loans we offer here at 1st Capital Mortgage. We offer conventional loans, that are perfect for those buying more traditional and lower cost homes. We also offer FHA 203K loans as well. The FHA 203K loans are perfect for someone if they have a home and they want to make improvements to the house. The FHA 203K loan will be able to cover the costs of construction and renovation needed for your home. Give our team a call today to learn about the various loan options that we have available.
Our organization would be delighted to help you with any question that you may have on any of these loans. There are number of different loan options that we have available and we love to consult with you on which one may be best. Our team of lenders, representatives, bankers, and other mortgage experts would love to help you select the best home is right for you. Give us a call today to learn more information. You quickly discover why so many people in Oklahoma go with 1st Capital Mortgage.
Jumbo loans are also perfect for home buyers in Owasso to purchase their half million-dollar plus dream home. These loans are designed to exceed their traditional limits of conventional loans that have been set by federal organizations Fannie Mae and Freddie Mac. The interest rates and down payments of jumbo loans are typically higher than more conventional loans. If you like to learn more about jumbo loans then give our team a call today by dialing 918-274-1519. We would love to help you with any question that you may have.