Super Jumbo Loans: A Solution for High-Balance Borrowers
You have big plans for the future, but sometimes those plans come with a price tag. At MortgageDepot, our innovative loan programs help you turn your real estate dreams into reality. We specialize in Jumbo and Super Jumbo loans that help our New York City borrowers fund their real estate purchases.
If a Jumbo loan isn’t enough, our loan officers might suggest a Super Jumbo loan. Super Jumbo loans target borrowers who have their eyes on a home that significantly exceeds the conforming loan limits.
What Is a Super Jumbo Loan?
In New York City, it’s not uncommon for housing prices to exceed Fannie Mae and Freddie Mac’s conforming loan limits. Sometimes Jumbo loans don’t adequately address the gap between the conforming loan limits and real estate prices. Our Super Jumbo loan program overcomes this barrier.
Super Jumbo Loan Program Highlights
Our Super Jumbo loan program helps borrowers achieve their real estate goals when housing prices soar. Here is a list of program requirements and highlights:
- Loan amounts up to $5 million are available, depending on the borrower’s profile.
- Borrowers can have a maximum LTV of 80% and a maximum CLTV of 90%.
- The DTI can be as much as 50%.
- Borrowers can have a credit score of as low as 700.
- This program is available for primary residence and second-home purchases.
- First-time homebuyers are eligible.
- Fixed-rate and SOFR ARMs are available through this program.
- There is no maximum cash-out limit on refinance transactions.
LTV and DTI and SOFR, Oh My!
To better understand our program highlights, here is a quick explanation of a few of the abbreviations mentioned above so that you are one step ahead at the mortgage desk:
- LTV: The LTV, or the loan-to-value ratio, is a calculation that gives lenders an idea of how risky it is to lend money to a particular borrower. Underwriters find this by dividing the mortgage amount by the appraised property value.
- CLTV: The CLTV, or the combined loan-to-value ratio, is used instead of the LTV when multiple mortgages are on the property.
- DTI: DTI stands for debt-to-income ratio. It is a formula that compares your monthly income to your monthly debt to give lenders another way to evaluate their risk level.
- SOFR ARM: An SOFR ARM is simply an adjustable-rate mortgage. Our loan professionals will be happy to explain the difference between SOFR ARMs and previous ARMs.
Contact Us Today!
If you are unsure how to fund a high-cost real estate purchase, contact us today. We’ll help you determine if our Super Jumbo program meets your needs!
Connect with one of our loan consultants to learn more.