As California home prices skyrocket , the loan limits for conforming , FHA , VA , nonQM , and other types of creative money sources from places like hedge funds , insurance companies , and banks rise as well . For example , the highcost conforming loan limits for the more pricey California counties were increased to $ 822,375 ( 97 % loantovalue ). Or , a home , condominium , or townhome may be
with 100 % loantovalue financing .
After June 2020 , both Fannie Mae and Freddie Mac began really tightening up their underwriting requirements for selfemployed borrowers partly due to serious concerns about rising unemployment rates and collapsing small to midsize businesses . Fannie and Freddie are the two largest secondary market investors in America that purchase a high percentage of 30year fixed partnered with more flexible hedge funds at prices that are very competitive with other loan products with or without income verification up to several million dollar loan amounts .
There ’ s a finite supply of both prime buildable California land and access to affordable and flexible money to purchase and sell these same property assets . As the number of buyers for California properties continues to far exceed the diminished available listing supply , you should better understand why homes have increased 10 %, 20 %, 30 %, and 40 %+ annually in various statewide regions . If you have access to land and money , then you ’ re well on your way to prospering here in the Golden State just like how the early Gold Rush settlers panned for gold .
RICK TOBIN purchased with as little as 3 % down payments up to almost an $ 850,000 purchase price .
More flexible FHA loan products which allow lower credit scores and cash reserve allowances may require 3.5 % down payments up to the similar $ 822,375 loan amount . Quite surprisingly , VA loans for qualifying active military or veterans have the option to purchase a single unit property ( home , condominium , townhome ) up to as high as $ 1.5 million with no money down and
Image by David Mark from Pixabay
mortgage loans and other loan products .
The Jumbo mortgage market also started to freeze up after an increasing number of lenders stopped lending on larger mortgage amounts for owneroccupied , second home , and rental properties for onetofour units . As a result , it forced more selfemployed and high net worth borrowers to seek out nonconventional mortgage alternatives with funding sources from mortgage companies like mine who are
Rick Tobin has a diversified background in both the real estate and securities fields for the past 30 + years . He has held seven ( 7 ) different real estate and securities brokerage licenses to date , and is a graduate of the University of Southern California . Rick has an extensive background in the financing of residential and commercial properties around the U . S with debt , equity , and mezzanine money . His funding sources have included banks , life insurance companies , REITs ( Real Estate Investment Trusts ), equity funds , and foreign money sources . You can visit Rick Tobin at
RealLoans . com for more details .
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