Great Rates on Jumbo Loans

From America’s Mortgage Resource with offices in Metairie, New Orleans, Mandeville & Baton Rouge

Are you interested in purchasing a luxurious custom home or estate, but the financing you need goes above the guidelines set forth by Freddie Mac and Fannie Mae?

No need to worry.  America’s Mortgage Resource offers aggressive programs and rates on Jumbo mortgage loans, which can provide the financing necessary to purchase or refinance your dream home.

Introducing Jumbo Loans

As housing prices rise, more and more homeowners and homebuyers are running out of ways to find financing for more expensive homes, such as custom-construction luxury homes. The price of the home rises above the maximum loan limit in the guidelines mandated by Freddie Mac (the Federal Home Loan Mortgage Corporation) or Fannie Mae (the Federal National Mortgage Association). If your financing needs go above these set limits, you will need a non-conforming loan, also known as a jumbo loan.

A Special Note About Jumbo Loans

Jumbo loans present a higher risk for the lender. In the event that the jumbo loan does default, the lender will be at a high risk of loss because it is more difficult to find buyers for high-end expensive homes.

Currently, the Fannie Mae-Freddie Mac conforming loan limit and FHA loan limit limit is $417,000 for all parishes in Louisiana.  This means that any loan amounts greater than $417,000 are considered “jumbo” loans.

Because of the higher amount of risk, Jumbo loans typically have higher interest rates, down payments, and monthly payments than the typical conforming home loan.

Why Choose a Jumbo Loan?

Borrowers who are interested in finding financing for a luxury home when conforming loans are not viable most frequently choose these large loans. Jumbo loans can provide financing to take advantage of a real estate opportunity in order to refinance to a loan with more favorable interest rates and terms at a later date.

Even though the interest rates for a jumbo loan are higher than for nonconforming loans, as the housing market rebounds, record low interest rates are currently available. If you are interesting in seeking a jumbo loan for your dream home, a loan expert at America’s Mortgage Resource with offices in Metairie, New Orleans, Baton Rouge and Mandeville, LA to help you find the best financing options possible.