95% jumbo loans are coming back to the St. Louis market, this is great for borrowers in high-cost areas that need to borrow more than the conforming loan limit. These programs have certain conditions that the borrower must meet in order to get approved.
The amount of risk associated with the 5% down jumbo loans pretty high for lenders and banks, so proper documentation is key to loan approval. Let’s take a look at some of the Jumbo loan guidelines buyers will need to meet in order to get approved.
If you are thinking about applying for the 95% Jumbo home loan in St. Louis there are a few requirements that you need to consider before applying.
- Applicants need to have funding for at least 5 percent of the total price of the home, at the time of applying for this type of mortgage. You can even have 5 percent available in your refinance equity.
- You must document your income and assets via W2s and tax returns. Debt-to-income ratios are generally limited to 35-40%.
- Buyers will need a strong 700+ credit score with no recent bankruptcy or foreclosure in the last 5 years.
- 95% jumbo financing is limited to $1.5m – $2,000,000. Much higher loan amounts are available for buyers that have 10% or more down payment.
- 95% financing is only available on primary homes – Single Family, townhomes, and select condominiums. Second homes, and vacation homes are also permitted with 5% down. Investment homes are permitted but will require a minimum of 20% down.
- 95% Jumbo home loans are available in both adjustable rates and fixed rates.
Please learn more about Jumbo Home Loans here. Five Stars also offers a variety of other home loan programs like Conventional, FHA, VA, and USDA. Buyers across the nation can contact Five Stars 7 days a week at ph: 888-705-1975
MO: Kansas City, St. Louis, Springfield, Independence, Columbia, Lee’s Summit, O’Fallon, St. Joseph, St. Charles, St. Peters, Blue Springs, Florissant, Joplin, Chesterfield, Jefferson City, Cape Girardeau
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