SearchExclusive.com

What Is A Jumbo Loan

Going by the word literally, jumbo loans could spark either hope in a struggler who has dreams or fear in the worst of financial defaulters. A jumbo loan is also called a jumbo mortgage. It is a form of housing finance for which the loan amount is greater than the limits set by the Federal Housing Finance Agency. Hence, it doesn’t qualify to be purchased or securitized.

Jumbo loans are used to a massive extent in financing luxury homes and properties in extremely competitive real estate markets. They require different underwriting requirements and have other tax implications. The price of a jumbo loan varies from state to state or county to county.

If you have the desire of buying a house that costs more than a half a million dollars, but you don’t have that much money in your bank account, then purchasing a jumbo loan could be for you. However, they carry a huge credit risk for the lender. As a result, the borrower will need to pay heed to more credit requirements as compared to if he or she was purchasing a normal loan.

For a jumbo loan to get approved, a credit score of 700 or more, which is incredibly reliable, and a debt-to-income ratio that is way below 43%, is a must to have. The loan must fall within the rules of the Consumer Financial Protection Bureau. If you go for a 30-year old fixed mortgage, for instance, you will have to prove to the lender that you have cash in hand that you get access to easily to pay your jumbo mortgage. He or she needs to have liquid assets to qualify and cash reserves that are equivalent to 6 months of mortgage payments.

There are some positive aspects of jumbo loans as well. The gap between interest rates offered by jumbo loans and conventional loans has reduced to a huge extent in recent years. They are often securitized by other financial institutions since these carry more risk. Down payment guidelines have also been loosened as well around this time. Earlier, lenders would ask borrowers to put up as much as 30 percent of the property’s purchase value. That figure now ranges between 10-15 percent, compared to 20 percent on the conventional loan.

Banks do aim to offer more customers with jumbo loans. They believe that their clients would be high-net-worth individuals or institutions with an excellent credit score and with many assets. Going one step further, jumbo loans can often be thought of by relationship managers of banks as an excuse to tempt clients into procuring extra wealth management and investment services in the future.

Generally, jumbo loans are taken by people who have a high amount of income, but not so much that they can be considered rich. Thus, a figure between $250000 and $500000 would suffice as their annual income. However, even if you are qualified enough to take it, you would want to consider and compare the prospect of taking two smaller, conventional loans and one big jumbo loan depending on their eventual profitability.

Related Reading

Tips for Buying the Best Dog Food

Most of the dogs do not have a food fuss and may eat almost anything that you feed them. Dogs are not choosy at all when it comes to food and nutrition. Hence, it is important to make sure that the food that you are purchasing for your dog is healthy. The landscape of dog food has been developing by leaps and bounds in recent times. There is a wide variety of options to choose from in the online and offline market. Given the wide range of options that are available today, buying the best dog food might seem to be a confusing task indeed. All the commercial pet food that is available in the market today is regulated by the FDA. Therefore, most of the products do contain nutritious, healthy, and safe ingredients. But it does help to know certain basic factors you should look for while buying food for your dog. Prioritize on the nutritional guarantee The best dog food, which meets the dog’s needs adequately has a statement written on the label of the product, from the Association of American Feed Control Officials. Buy from some of the best dog food brands, such as Fromm Family Foods, Earthborn Holistic, Nature’s Variety Instinct, and The Honest Kitchen.

Different Types of Kitchen Cabinets Available for Your Home

The most important aspect when designing your kitchen is deciding on the type of cabinets. In addition to functionality, kitchen cabinets score on aesthetics as well. Once the layout is planned, you can go ahead with choosing the cabinets. If you’re remodeling your home or just the kitchen, what you need to consider are the types of cabinets that furnish your kitchen. Here are a few types of kitchen cabinets that you can choose from. Base cabinets These kitchen cabinets are mounted on the floor and they are placed after checking out the floor plan. A major part of your job in the kitchen is on these base cabinets, which hold and support the countertops. These base cabinets are combined to carve out kitchen islands. A number of base cabinets are fused/set against one another and installed on site. The base cabinets, in addition to supporting the countertops, serve as drawers to hold your cutlery and appliances. Wall cabinets Mounted on the walls, these cabinets can store everything, right from your cookware to cookbooks. In terms of design, they offer utmost flexibility. Wall cabinet kitchen is available in varying heights, multiple widths, and custom depth options. This customization helps you to fit in your stuff of varying shapes and sizes into the wall cabinets.

How to Pick the Right Dog Food for a Sensitive Stomach

In today’s world, where you are presented with over a dozen choices for every item you would purchase for your own kitchen, it is not surprising that you have an equal number of options for your dog’s food. However, choosing the perfect brand and formula for your dog out of a range of options in the market is not an easy job. Your pet depends on you and trusts you to make the right choice for them. Therefore, it is imperative that you do your research about the products available in the market, understand what your dog needs, know what might be your pet’s problems, and then make a sound decision. What is a sensitive stomach? Dogs are known to have voracious and large appetites. Keeping that in mind, it is normal to assume that they have strong stomachs. They can eat close to anything be it sweets, bakes, chewy gum, hard leather or even woolen socks for that matter! It always so happens that the strongest of them are prone to allergies and can develop a disorder which is medically translated as a sensitive stomach. This might be due to a sudden change in the food habits or even due an infection picked up from somewhere.

All You Need to Know about Cat Food

For cat owners, cat food is a hot topic. You need to think about it in different aspects. The best thing is to know which ingredients are good for cat food and which are harmful. If you are aware of this, you can get an idea about the quality of the cat food just by going through the label. It is always sensible to stick to one brand of cat food. However, you may also want to try and prepare cat food yourself. There are also various options for wet cat food as well. Cat’s love for fish is universal, so you can do without going for expensive cat food. Nevertheless, whether you buy it or prepare cat food at home, you need to ensure that the food contains enough nutrition and calories. You would need to have some idea about the ingredients that must be present in cat food and make a worthy selection for your cat. Basic ingredients present in good cat foods Cats need a variety of nutrients to stay healthy and active; they need various vitamins, minerals, fats, proteins, and oils. The following is a brief explanation of the basic ingredients that should be present in cat foods.