It seems as if  a promising future is on the horizon for buyers and the current owners of high-end properties.   At the latter part of last year, the jumbo loans were no longer available from banks.  A jumbo loan is a mortgage that the government will not buy or guarantee (over $417,000, depending on the location of the property).  Bank of America recently promoted a new 30-year fixed-rate jumbo loan with an interest rate around 5.78% and fees at 1% of loan amount. Although these loans are more expensive for the bank to keep if they do not find a non-government investor, some believe that more banks will soon follow Bank of America’s trend.

Filed under: LOAN INFORMATION, LOCAL MARKET