What are jumbo loan reserve requirements?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
Jumbo loans typically require cash reserves of six to twelve months of full payments after closing, and larger loans may require more. Reserves prove you can sustain the payment.
Retirement and investment accounts usually count, often at a discount. We'll calculate the exact reserves your jumbo program wants and which assets qualify.
Months of payments saved
Jumbo loans usually require cash reserves, often six to twelve months of mortgage payments left in your accounts after closing. Larger loan amounts tend to require more.
Reserves reassure the lender you can keep paying if your income dips, since the loan is sizable.
What counts
Reserves can sit in checking, savings, or investment accounts, and retirement funds often count at a reduced value. The more liquid your assets, the easier the requirement.
We will tell you exactly how much you need before you make an offer. Reach out and we will plan your jumbo reserves.