Luxury Home Financing Specialists

When someone is spending a million dollars or more on a luxury homes, you are well beyond the reach of standard loans, like those offered from Fannie Mae ™ and Freddie Mac ™. Financing these properties requires a special touch and a unique set of lending skills and knowledge the average Loan Officer simply doesn't possess. 

This niche market of housing also may require special financing options, especially for the self-employed, or those not wanting to document income in a traditional manner.

The Joe Metzler Team at Cambria Mortgage specializes in luxury financing, and is your go to lender for luxury home loans in Minnesota, Wisconsin, Iowa, North Dakota, and South Dakota.

Typical Luxury Home Financing Options:

JUMBO MORTGAGE: Loans over the conforming loan limit offered by Fannie Mae and Freddie mac. Currently $627,000 in the states we serve,, and typically up to $2,000,000.

SUPER JUMBO MORTGAGE: Home loans typically over $2,000,000. Generally these loans are one off loans offered on a case-by-case basis from a limited number of lenders and banks.

Specialized Financing Options, including:

• ✅ Loans over $647,200 (as of Dec 2021)
• ✅ Self-employed borrowers
• ✅ Assets based loans. No income required.
• ✅ No Tax Returns
• ✅ Bank Statements for Income
• ✅ NON-QM Loans
• ✅ Interest Only Options
• ✅ Loans up to $3 million

Down Payment Requirements

Unlike the typical first time home buyer struggling to come up with even a small down payment, most luxury home owners can easily meet down payment requirements, which usually start at 20% down.

You may be able to find some options with as little as 10% down, but that is not normal.

Luxury Home Financing Interest Rates

There is no centralized secondary mortgage market, (think Fannie Mae and Freddie Mac) for the jumbo loan / luxury home market. This means the typical lender will have to hold the loan on its own books for the life of the loan.  What does this mean to you?  Simply that you should expect different interest rates, and usually a little higher, than you commonly see advertised for traditions loans.

Closing Costs for Jumbo Luxury Loans

As with the interest rates, closing costs on jumbo luxury loans will differ from your more common traditional loan. Everything will cost a bit more.  The appraisal for example, is currently between about $500 - $700 on a modest home, but is not uncommon for a luxury appraisal to be in excess of $2,000 - AND it is common that the lender may require TWO appraisals for the luxury home.

One time pro-rated escrows account startup requirements for taxes and insurance can really add up too.  A few months of up-front taxes  on a property with $30,000 or more in property taxes adds up fast.

It is also common for lenders on luxury loans to only offer loans with some discount points required up-front in order to give you the best possible interest rate.

Ready To Get Started?

For your private and confidential financing review, call Joe Metzler, Senior Loan Officer directly at (651) 552-3681. Joe has over 25-years lending experience, and is top rated both locally and nationally

You can also jump start the process by completing our secure online application.