Financing San Jose real estate
San Jose real estate prices are dropping everyone knows that. The main cause keeping San Jose real estate down is lack of availability of financing. Right now the median home price in San Jose is around six hundred thousand dollars. It is some of the more expense in all of California real estate. The conforming loan limit for San Jose Homes For Sale is four hundred and seventeen thousand dollars. You can easily see where the discrepancy is. What about jumbo conforming loans you ask? Good Question. Jumbo conforming loans for San Jose real estate currently allow financing of up to seven hundred and twenty nine thousand dollars. The problem is these loans are very hard to get even for the best of borrowers. It is crazy to think that you can have great credit, money in the bank, lots of equity and a high income and not be able to get a loan. That is the truth of the jumbo conforming. The main difference in financing San Jose CA homes for sale is in the way these jumbo loans are underwritten. Conforming loans like you might use in Sacramento real estate use a system called AUS which means automated underwriting system, while jumbo loans are manually underwritten for San Jose Real Estate. This process plus much more strict underwriting guidelines are the cause of the difficulty of obtaining loans in San Jose.
