Jumbo Loans in California
A jumbo loan in California is any mortgage exceeding $1,089,300 — the conforming loan limit. Most California coastal counties qualify for high-cost area limits of up to $1,089,300. San Francisco, Santa Cruz, and Marin counties are at the national ceiling. With a median home value of $785,000, most California buyers stay within conforming limits.
Jumbo Loan Requirements in California
- Down payment: Typically 10-20% minimum (no 3.5% FHA option)
- Credit score: Usually 700+ required, with the best rates requiring 740+
- Reserves: Lenders often require 12+ months of PITI in reserve
- DTI: Typically capped at 43% vs 50% for conforming loans
Property Taxes on Jumbo Properties in California
Higher-value properties carry higher tax bills. At California's effective rate of 0.71%, a $1.5M home generates approximately $10,650/year in property taxes.
Frequently Asked Questions
What is the jumbo loan threshold in California?
A jumbo loan in California is any mortgage over $1,089,300. Most California coastal counties qualify for high-cost area limits of up to $1,089,300. San Francisco, Santa Cruz, and Marin counties are at the national ceiling.
How much down payment is required for a jumbo loan in California?
Jumbo loans typically require 10-20% down. Unlike conforming loans, there's no 3.5% or 0% down option. On a $1M property, expect to put down $100,000-$200,000 plus $7,200 in closing costs.
What credit score do I need for a jumbo loan in California?
Most California jumbo lenders require a 700+ credit score, with the best rates at 740+. Income documentation requirements are also stricter than conforming loans.
Are jumbo loans more expensive than conforming loans in California?
Jumbo rates are typically 0.25-0.5% higher than conforming rates, though this spread has narrowed. The real premium is stricter qualification: larger down payment, higher credit score, and reserve requirements.