Keller WIlliams Luxury Logo
Home » Less Jumbo’s, More Conformings!

Less Jumbo’s, More Conformings!

by | Feb 1, 2008 | Financing | 0 comments

Ever since President Bush announced his stimlus package everyone has been trying to figure out how much money they can get from the government and how soon. What has been missed in those headlines is good news for those people trying to buy a bigger home. You see part of the debate in the senate and congress is whether or not the government will raise the threshold on conforming loans. Currently people purchasing a home at 417K or less qualify for Freddie Mac or Fannie Mae (government backed) loan. Conforming loans generally carry the best interest rates for consumers allowing them to have more house for less money. Conforming loans are also easier to get approved. The problem has been that more and more homes are averageing above that 417K price tag or at least they have in Colorado. That forces the homebuyer to apply for a Jumbo loan and pay the piper when it comes to interest. Part of the stimlus package being debated on Capital Hill is whether or not to raise that 417 threshold to the low 600’s, like 625K.

Some Senators and Congressman think it’s a bad idea, some think it’s well over due and still others say maybe we should do it only for a temporary period of time until we can whether the storm. I say make it permanent, make it now and move the threshold to 700K, it’s not like where ever going to see home prices from our parents generation again. If I’ve learned one thing in life…. it’s that every thing keeps getting more and more expensive, not less. Call your Congressman and Senators or send them an email and let them know raising the jumbo threshold is not only a good idea… it’s an overdue idea.

Recent Posts

Big Island Featured Restaurant & Activity – October 2025

Big Island Featured Restaurant & Activity – October 2025

Featured Restaurant: Brown’s Beach House If you’re looking for a tasty, elegant, open-air dining experience look no further than the Brown’s Beach House restaurant at The Fairmont Orchid in Mauna Lani Resort. Its Chef de Cuisine, Junior Ulep, is a celebrated...

read more
August Sales Statistics for the Big Island Resort Areas

August Sales Statistics for the Big Island Resort Areas

Real estate activity was spotty during the month of August, but slightly up over the month prior. Mauna Lani Resort led the way in condominium sales with three closings, followed by Mauna Kea Resort with two and single condo sales in Kohanaiki, Kūki`o and Waikoloa...

read more
The Window Buyers Have Been Waiting For

The Window Buyers Have Been Waiting For

Interest Rates, Inventory, and Opportunity Aligned According to the National Association of Realtors, more than 7 million buyers have been sitting on the sidelines, waiting for interest rates to drop into the fives. That moment has now arrived. Through our partners at...

read more
So, You Want a Place on the Ocean?!

So, You Want a Place on the Ocean?!

By Dan Polimino Of course you do! I was meeting with a client at a local eatery and he said to me, “It’s always been my dream to have a place in Hawai`i right on the ocean.” And why not? I mean, it’s one of the reasons why you would move to Hawai`i or own a second...

read more
September 2025 Featured Restaurant & Activity

September 2025 Featured Restaurant & Activity

Featured Activity: Atlantis Adventures Submarine Tour Discover the magic of Kona’s undersea world while diving over 100 feet beneath the sea in an eco-friendly, 48-passenger submarine. Learn about Kona’s marine mysteries in the air-conditioned comfort of this Coast...

read more

Recent Listings

Call Now