3 things to know about ACM’s jumbo loans in Phoenix, Arizona
June 21, 2021at7:00 AM
Your dream home shouldn’t stay a dream. However, in real estate, market fluctuations and exorbitant costs often make the home of your dreams feel unattainable. Luckily, jumbo loans in Arizona make homeownership possible for anyone anywhere. If your dream home exceeds the limits of a conventional loan, you shouldn’t have to compromise. With Atlas Crown Mortgage (ACM), you get 25 years of experience and cutting-edge AI-driven technology to find the perfect tailored financing solutions for you.
Here are 3 things to know about jumbo loans:
What is a jumbo loan?
A jumbo loan in Arizona enables you to finance properties that would otherwise be too expensive for a conventional conforming loan. Conventional conforming loans have individuating limitations that vary from county to county.
The maximum amounts they afford you are determined by the Federal Housing Finance Agency. The reason for this is that real estate markets are incredibly dynamic, volatile, and experience significant, rapid change. Some are more expensive than others.
In more expensive markets, the limitations are higher. If your home exceeds the local conforming loan limitations, you need a jumbo loan. Luckily, at ACM, we guarantee to find the perfect loan package tailored to your market and circumstances.
How do you qualify?
There are several different criteria you have to fulfill to qualify for a jumbo loan in Arizona. Firstly, it’s common for lenders to require a credit score of at least 700. They will also assess your debt-to-income ratio, and many lenders will set a hard limit at 45% DTI.
Having cash saved will go a long way. Particularly if you’re still shopping around, saving money before applying will help significantly. To be approved, lenders will often ask to see that you have enough cash saved to cover a year of payments.
Expect to produce considerable documentation as evidence you’re in a position to take on the loan. This will typically far exceed what you would have to provide for a conventional loan. Be ready to supply them with full tax returns, W-2s, and 1099s for at least the last two years.
If you’re self-employed, anticipate more paperwork. Lenders may require a second home appraisal for the property you’re buying as well. Lastly, the closing costs will be significantly higher and these loans often require a higher downpayment.
Fortunately, with ACM, we pride ourselves on finding tailored solutions for everyone’s situation, so qualifying is never a question.
What rates do you pay for jumbo loans?
Jumbo loans in Arizona often have higher rates than conventional conforming loans. This is because they involve far greater risk for lenders. Still, rates vary significantly and depend on your lender, finances, market, and downpayment.
However, with jumbo loans, you can still sometimes obtain lower rates than conforming loans. In fact, the average annual percentage rate (APR) for jumbo loans is now often comparable to conventional mortgages.
This makes shopping around essential. There’s such a wide variance that failing to survey the market to determine what you should be paying and what the best possible deal is could have devastating financial consequences.
Contact us now for a loan!
If you’re ready to buy a house but financing feels like a pipedream, at ACM, we make your dreams a reality. Particularly for nurses and veterans in Phoenix and Scottsdale, our jumbo loans in Arizona are unmatched. With over 25 years of experience and innovative AI-driven technology, we proudly provide tailored solutions and a streamlined process. Unlike competitors, our transparency and honesty mean we never put you in impossible financial situations. Contact us now for a loan! With our help, you can inhabit your dreams.