This chart shows how home buyers with jumbo loans — loans over $417,000 — are being impacted by the recent mortgage market uncertainty.

Similar to sub-prime borrowers, rates have jumped higher for jumbo borrowers in the past four weeks.

For some jumbo clients, the expected payment on a $500,000 mortgage increased $508. Rates have climbed 1.500% higher since Agust 1 in some cases.

Note: The chart above does not reflect actual mortgage rates. It is provided by Bankrate.com and it meant to show how jumbo loans are moving in a different direction from conforming, 30-year fixed rate home loans.

For some homeowners, splitting a jumbo loan into two parts may make financial sense — one loan for a conforming-size $417,000 and another “piggyback” loan to make up the difference.

This entry was posted on Monday, August 27th, 2007 at 3:56 pm and is filed under Cincinnati Real Estate News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.