A jumbo loan is a mortgage that exceeds the conforming loan limits established by the Federal Housing Finance Agency (FHFA) for the county where the property is located. Because these loans exceed conforming loan limits, they typically have different qualification requirements, underwriting guidelines, and reserve requirements than conforming loans.

In Northern California, where home values frequently exceed conforming loan limits, jumbo loans are common for buyers purchasing homes in communities like Folsom, Granite Bay, El Dorado Hills, Roseville, Sacramento, and throughout California.

At Inner Circle Mortgage, we compare jumbo loan programs from multiple wholesale lenders to help identify the best fit for your financial situation, with loan amounts up to $5 million. Whether you’re buying a primary residence, second home, or investment property, we’ll help you find the financing solution that best fits your goals.

A loan becomes a jumbo loan when it exceeds the current conforming loan limit established by the Federal Housing Finance Agency (FHFA) for the county where the property is located. Because conforming loan limits are updated annually, it’s important to verify the current limit for the county where you’re purchasing. You can view the current conforming loan limits on the Federal Housing Finance Agency (FHFA) website before beginning your home search.

In many Northern California communities, including Folsom, Granite Bay, El Dorado Hills, Sacramento, and surrounding areas, home values often exceed conforming loan limits, making jumbo financing a common option for buyers.

While jumbo loans have additional underwriting requirements, they also offer borrowers the ability to finance higher-priced homes with competitive interest rates and flexible loan options.

Unlike conforming loans, jumbo loan requirements can vary from one lender to another. One of the advantages of working with an independent mortgage broker is access to multiple wholesale lenders, allowing us to compare jumbo loan programs and identify the best fit for your financial situation.

While every loan is unique, jumbo lenders commonly evaluate the following:

Credit Score

Most jumbo loan programs require strong credit. Minimum credit score requirements vary depending on the loan amount, occupancy type, down payment, and overall borrower profile.

Down Payment

Many homebuyers are surprised to learn that jumbo loans do not always require a 20% down payment. Depending on the loan program, property type, occupancy, and borrower qualifications, lower down payment options may be available. Working with multiple jumbo lenders allows us to compare programs and identify the financing solution that best fits your needs.

Income Documentation

Lenders review income to ensure borrowers can comfortably repay the loan. Depending on your financial situation, income may be documented using:

• W-2 wages
• Self-employed business tax returns
• Bank statement programs
• Asset depletion
• Retirement income
• Investment income
• RSU (Restricted Stock Unit) income, when eligible

Cash Reserves

Many jumbo loan programs require borrowers to have reserve funds available after closing. Reserve requirements vary based on factors such as the loan amount, occupancy, property type, and overall financial profile.

Debt-to-Income Ratio (DTI)

Jumbo lenders evaluate your monthly debt obligations compared to your income. Maximum debt-to-income ratios vary by lender, but strong compensating factors may allow for greater flexibility.

As an independent mortgage broker, Inner Circle Mortgage has access to multiple wholesale lenders. Rather than offering just one jumbo loan program, we compare a variety of financing options to help you find the best solution for your financial goals.

Depending on your qualifications, available programs may include:

Fixed-Rate Jumbo Loans

Lock in a consistent interest rate and monthly principal and interest payment for the life of your loan. Fixed-rate jumbo mortgages are popular for borrowers who value long-term payment stability.

Jumbo ARMs

Jumbo ARMs may offer lower initial interest rates than fixed-rate loans, making them an attractive option for borrowers who expect to refinance, relocate, or pay off the loan before the fixed-rate period ends.

Interest-Only Jumbo Loans

Qualified borrowers may be eligible for interest-only payment options, providing greater cash-flow flexibility during the initial years of the loan.

Bank Statement Jumbo Loans

Designed for many self-employed borrowers, bank statement programs may allow qualifying income using personal or business bank statements instead of traditional tax return calculations.

Asset Depletion Jumbo Loans

Some borrowers with significant assets but limited monthly income may qualify using an asset depletion program.

Not every program is available through every lender, and qualification requirements vary. We’ll help you compare your options and determine which jumbo loan program best fits your financial goals.

One of the biggest misconceptions about jumbo loans is that every borrower must make a 20% down payment.

That simply isn’t true.

Depending on the property type, loan amount, occupancy, and borrower qualifications, many jumbo loan programs offer lower down payment options.

Potential options may include:

• 10% Down Jumbo Loans
• 15% Down Jumbo Loans
• 20% Down Jumbo Loans
• Larger down payment options for maximum flexibility

Every borrower’s situation is different, which is why comparing multiple jumbo lenders can make a significant difference in available loan options.

If you’re unsure how much down payment you’ll need, we’re happy to review your scenario and help determine the best jumbo financing solution.

Purchasing a luxury home often requires more than simply finding a lender—it requires working with a mortgage expert who understands jumbo financing.

As an independent mortgage broker, Inner Circle Mortgage compares jumbo loan programs from multiple wholesale lenders to help qualified borrowers secure competitive financing tailored to their goals.

When you work with us, you benefit from:

• Access to multiple jumbo loan lenders
• Competitive interest rates
• Low down payment jumbo loan options for qualified borrowers
• Personalized guidance throughout the mortgage process
• Local expertise serving Folsom and the surrounding communities
• Fast communication and responsive service from application through closing
• Access to specialized jumbo loan programs not available at every lender

Whether you’re purchasing your dream home, upgrading to a larger property, refinancing an existing jumbo mortgage, or financing an investment property, we’re committed to helping you find the jumbo financing solution that best fits your goals.

What is the difference between a jumbo loan and a conforming loan?

A conforming loan falls within the annual loan limits established by the Federal Housing Finance Agency (FHFA). A jumbo loan exceeds those limits and may have different qualification requirements, reserve requirements, and underwriting guidelines. At Inner Circle Mortgage, we help borrowers compare both conforming and jumbo financing options to determine the best fit.

Do jumbo loans always require a 20% down payment?

No. Many jumbo loan programs offer lower down payment options for qualified borrowers. Available down payment requirements vary by lender, loan amount, occupancy, and borrower qualifications.

What credit score is required for a jumbo loan?

Credit score requirements vary by lender and loan program. Many jumbo programs require strong credit, but the minimum score depends on factors such as down payment, loan amount, reserves, and overall borrower profile.

Can self-employed borrowers get a jumbo loan?

Yes. Many jumbo lenders offer financing for self-employed borrowers, including bank statement loan programs and other alternative income documentation options for qualified applicants.

Are jumbo loans available for second homes and investment properties?

Yes. Depending on the lender and loan program, jumbo financing may be available for primary residences, second homes, and investment properties.

Can I refinance my jumbo mortgage?

Absolutely. Jumbo refinancing may help qualified homeowners lower their interest rate, change loan terms, access home equity, or consolidate debt depending on their goals.

Can I qualify for a jumbo loan with less than

20% down?

Yes. While many people believe jumbo loans always require a 20% down payment, that isn’t always the case. Depending on the loan amount, property type, occupancy, credit profile, and other qualifying factors, some jumbo loan programs offer lower down payment options. We’ll help you compare available programs from multiple lenders.

Whether you’re purchasing a luxury home, upgrading to a larger property, or refinancing an existing jumbo mortgage, we’re here to help.

As an independent mortgage broker, Inner Circle Mortgage compares jumbo loan programs from multiple wholesale lenders to help qualified borrowers secure competitive financing with personalized guidance throughout the process.

If you’re considering a jumbo loan in Folsom, Granite Bay, El Dorado Hills, Roseville, Sacramento, or anywhere in California, we’d be happy to review your scenario and help you explore your financing options.