Expect higher requirements for jumbo loans

[greenie]

The standards in our country are all based on the banking standards as per the regulation of the central bank. Legal lenders like banks and financial institutions cannot raise the interest rate of loans without approval of the central bank. That restriction is a safeguard against undue inflation that can result when the interest rate becomes usurious. We do not have jumbo loans here and in my experience in working in a bank I have not encountered that term.

 

[Genie01]

A jumbo loan is a hypothecary loan which exceeds the loan cap. Since these loans cannot be secured by anyone, jumbo lenders appear to have higher credit score standards than you would have to have on an adjustable loan.

The exact conditions can differ considerably between creditors and lenders and depending on your other revenue, debt and asset qualifications. But I would usually expect lenders to see loans on an investment real estate loan well into the 700s.

How about in your own country, what are the things you might consider already in higher standards? Please share your thought

From this end of the world, there is nothing like jumbo loans.
However, the main sources of loans are the main banks and microfinance banks.

 

[frederick_9]

Additionally, lenders have more flexibility with jumbo loans whereas conforming loan qualification standards are more uniform among lenders (they must be for Fannie and Freddie to purchase the loans).
For these reasons, different mortgage lenders may have very different requirements.

 

[joy101]

Getting a loan in country you must have high credit score before you would be giving the opportunity to access any loan, without that there is no way you can get any loan here in my country.

 

[Nomad]

Bigger loans need bigger collateral. If you do not have fixed assets to provide collateral, you might not be able to access loan facilities. In order to get bigger loans, you also need a stable income source because you need to assure your lender that you will be able to pay back the loan.