Jumbo Loans Getting Cheaper
If you’re taking out a loan on a pricier home, you’ll likely be securing a “jumbo loan” — that is, a mortgage of more than $417,000. Jumbo loans have recently captured national attention for their extremely low rates. In fact, they’re even lower than conventional mortgages, and some lenders are even allowing lower down payments and waiving the mortgage insurance too!
The Mortgage Bankers’ Association reported the average rate of jumbo loans last week was 4.24%, as compared to the conventional average of 4.36%.
Additionally, borrowers have historically needed a minimum credit score of 770. However, many lenders are now allowing credit scores as low as 660.