Community banks, credit unions and other small lenders that make “jumbo loans” too large for purchase or guarantee by Fannie Mae and Freddie Mac are partnering with private mortgage insurers to offer jumbo loans to borrowers making down payments of less than 20 percent, MarketWatch’s AnnaMaria Andriotis reports.

Mortgage Guarantee Insurance Corp., Genworth, United Guaranty and Radian Group will all insure mortgages of up to $850,000, and United Guaranty has a limited program to insure loans of up to $1 million.

Rates and terms on jumbo mortgages have also relaxed in the last six to 12 months, to the point that interest rates on 30-year fixed jumbos are now reportedly comparable to rates on conventional loans, and borrowers with credit scores of 700 or below now have a better shot at obtaining one. Source: marketwatch.com.

Show Comments Hide Comments

Comments

Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription