Jumbo Mortgages (loan amounts over $417,000)

1. • 30-Year Fixed Jumbo - These loans must be $50 over the conforming limit per county to a maximum of $2 million. The interest rate is fixed for the life of the loan and requires a minimum 30% down payment.
   

1. • 5/1 LIBOR ARM Jumbo - These loans start off with a fixed rate for the first five years, then begin adjusting up or down for the remaining 25 years. These loans require a minimum 5% down payment.
   

Interest Only Mortgages

An interest only loan may be either a fixed rate or an adjustable rate mortgage. Payments are calculated for a fixed term with only interest paid. At the end of the initial term, the principal amount owed remains the same as borrowed. This provides for a lower monthly payment.

Maximum Amount: $417,000

1. Provides for a lower monthly payment.
   

2. Is useful in an appreciating market.Jumbo Mortgages (loan amounts over $417,000)
   

Second Mortgages and HELOC

A fixed or adjustable rate mortgage established for a pre-determined term. This mortgage is in addition to an existing mortgage on the subject property. A HELOC (Home Equity Line Of Credit). The line of credit is approved and payments begin when money is drawn down on the line. Typically this loan type is set up with a checking account and the funds are available for access via a check. Payments are calculated on the amount drawn down.

1. Good for pulling out equity without having to refinance.
   

2. Great for having access to equity in an emergency and in a hurry.
   

3. Ideal for "Piggy back" loans. (Combination of a 1st mortgage and a 2nd mortgage to keep under the jumbo loan amount ceiling.