As the jumbo mortgage market expands, we can now offer a program where a buyer can purchase a property for as much as $972,000 and put down just 10%. We will make two loans (piggy back) to the borrower, one for the maximum conforming limit of $625,500 and the other for up to $250,000. Because the first loan is less than 80%, there is no mortgage insurance (PMI) required. And unlike other piggy back loans where the 2nd trust deed is at a much higher rate, in our case the 2nd is very competitively priced, nearly as low as the 1st TD.
Since the first loan is within conforming limits, the underwriting is much more down to earth and lenient as opposed to a jumbo loan. And the rates are lower. So, if you are looking at prices above $650,000 but only have 10% down, give us a call. This “piggy back” combo is fast becoming of our most popular loan products.