Getting to Know Non- Conforming, Jumbo, Loans in Michigan

Marc Edelstein connects soon to be home buyers with lending options that meet their specific needs. One of the products we offer is the non-conforming home loan, more commonly known as a Jumbo loan.

The Jumbo home loan is one that does not conform to, it exceeds, Fannie Mae’s and/or Freddie Mac’s loan limit guidelines. Fannie Mae and Freddie Mac’s loan limits are set annually by the Federal Housing Finance Agency. They currently sit, for 2018, at $453,100 for most counties, some high-cost counties have higher loan limits.

Marc Edelstein helps his clients in Bloomfield Hills, Birmingham, Northville, Ann Arbor, and the whole state of Michigan. Contact Marc Edelstein today to schedule a consultation to learn more information about non-conforming, Jumbo home loans in Michigan.

Who Can Get a Jumbo Loan in Michigan?

Jumbo loans carry more risk for the lender than conforming loans, therefore credit standards are more stringent. If you have your sights set on a home valued at half a million or more, you will need outstanding credit (700 or higher), a low debt-to-income ratio (43%), and plenty of documentable assets to qualify for a Jumbo home loan.

Jumbo loans are most commonly sought after by high net worth individuals who make in excess of $250,000 a year. This portion of the home buying public usually have high credit scores, low debt ratios, and documentable assets to close with substantial reserves post-closing.

Features of Jumbo Loans!

• Down Payments as low as 10%, with PMI, of course
• Sellers may contribute to the buyer’s closing costs
• Adjustable and Fixed Rate Options

Why you may not Qualify for a Jumbo Loan

• Credit History/Score – If there are recent late payments on current credit, or credit scores are below 700, jumbo loans may not be available.
• Debt-to-Income Ratio – If your total income divided by monthly debts, including the new mortgage payment, is greater than 43%, jumbo loans may not be available.
• Documentation – All borrowers are required to provide documentation to support employment/income/asset history. If either of these cannot be supported with acceptable documentation, jumbo loans may not be available.
• Major Derogatory Credit Event – If the borrower has a short sale/foreclosure/bankruptcy in their recent past, last 7 years, jumbo loans may not be available.

 

 

 

Working with a Qualified Lender

Choosing to work with Marc Edelstein of Ross Mortgage can help the homebuying process go smoothly. With over 17 years of experience Marc Edelstein knows how to match each client with the right loan that works for them.

Marc can help you get pre-approved which gives you leisure to focus on the actual home search! To learn more about Jumbo loans in Bloomfield Hills, Birmingham, Northville, Ann Arbor and the whole state of Michigan contact Marc Edelstein today.