Tampa Jumbo Home Loan | Appraisal Guidelines to Know

By
Mortgage and Lending with Your Tampa Bay Mortgage Source

Luxury Florida HomeTampa Florida is home to many luxury homes.  In addition, it is common for buyers to take out a mortgage for the purchase of their luxury homes.  For many of these buyers, it is necessary to have a jumbo or super jumbo mortgage.

The question has been raised before of when it is necessary to have more than one appraisal on a property.  Now, every mortgage lender has their own requirements, but in general certain high loan amounts will require an additional appraisal.  The following are our appraisal requirements in regards to jumbo and super jumbo mortgages:

  • Generally, only one appraisal is required on loan amounts up to $1,000,000.
  • For loan amounts from $1,000,000 to $1,500,000, one full appraisal and a field review or two full appraisals must be completed.
  • Two full appraisals will be required on loan amounts greater than $1,500,000.

When two appraisals are required, generally the appraisal with the lower value will be used.

You may ask why Jumbo and Super Jumbo loans have these additional requirements.  It is because of risk.  Just like a borrower with a below average credit rating has additional qualifications, so do the high loan amounts associated with jumbo loans.  I recently wrote a post to this subject.

If you are a local REALTOR working with a luxury home buyer, you may want to be aware of this additional requirement.  Consult your mortgage professional to find out up front if you may have to have more than one appraisal completed.

If you are a luxury home buyer in Tampa Bay and would like to know your options for your purchase and jumbo mortgage requirements, please feel free to email Leah, directly for a complimentary consultation.

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Leah Ross, Tampa Mortgage Consultant, proudly serving South Tampa, Davis Island, Harbour Island, New Tampa, Brandon, Westchase, Clearwater, St. Petersburg and the remaining Tampa Bay area.

Comments (15)

Thomas Weiss
Thomas R. Weiss - West Palm Beach, FL

Leah,

This is a good one, I don't know how many Appraisals I had turned down, becuase of not fitting Guidelines..

Tom Weiss

Sep 17, 2007 01:52 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes
Leah - What an easy to understand article on buying a Luxury Home in Tampa or a Luxury Beach Condo in Clearwater - We see the need for more and more of these as destination property values increase.  
Sep 17, 2007 02:17 AM
Leah Ross
Your Tampa Bay Mortgage Source - Tampa, FL
Tampa, Florida Mortgage

Tom ~ Appraisal guidelines are becoming tighter everyday!  Have you had to deal with the "declining markets" hurdle yet?  Ug!  5% reduction in CLTV if they are going maximum financing.

Cyndee ~ Thank you for the comment.  Being in a luxury market like Tampa and Clearwater, the professionals in our business, like you, need to be on top of any changes in requirements, especially on the mortgage side.  I am glad to be able to provide information to be helpful to you!

Sep 17, 2007 02:39 AM
Stephanie Edwards-Musa
thredUP.com - The Woodlands, TX
knitwit at thred UP
Leah,  great information on Loans for Luxury Homes in the Tampa area!  It's very clear and easy to understand.
Sep 17, 2007 02:55 AM
Mana Tulberg
805 County Real Estate - Camarillo, CA
Real Estate Agent - Camarillo CA
Leah, I love reading your posts, I always learn some thing new.
Sep 17, 2007 03:37 AM
Susie Roscoe
Signature Realty Associates - Brandon, FL
Real Estate Specialist | Brandon, FL
Leah - You are the queen of FYI's in the mortgage world in Tampa, FL.  We have so many luxury homes here from Bayshore to the Beaches and then some! 
Sep 17, 2007 09:36 AM
Shannon Lefevre
John R. Wood Properties - Naples, FL
Shannon Lefevre, PA Your Naples Smart Girl
Hey Leah!  I met you at a luncheon at FAR!  I was sitting on the other side of your friend, I left early to return a business call and then sat in the back for the last few minutes of the program.  I saw your profile and thought I'd say HI.  Hope you're doing great!  :)
Sep 17, 2007 01:19 PM
Larry Bettag
Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 - Saint Charles, IL
Vice-President of National Production
Nice post Leah....I like the house that you have featured here. 
Sep 17, 2007 04:18 PM
Rita Taylor
None - Sanford, NC
Sanford NC Real Estate - Homes for Sale in Sanford North Carolina

Leah,

Great information for luxury home buyers.  I have not run into this situation yet with my clients but we don't have many homes in this area over $500,000.  Nice to know for the future! 

Sep 18, 2007 01:55 PM
Rick & Ines - Miami Beach Real Estate
Majestic Properties - Miami Beach, FL
Leah - thanks for this information, we have closed many listings above the $1.5 million range and don't ever remember 2 appraisals......maybe there's a given field inspection that I have never considered an extra step.  Very interesting.
Sep 20, 2007 04:28 PM
Larry Bettag
Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 - Saint Charles, IL
Vice-President of National Production
Leah...where've you been?  AR just isn't the same without you being activer here.....
Oct 07, 2007 03:29 PM
Chris Griffith
Downing-Frye Realty, Bonita Springs, FL - Bonita Springs, FL
Bonita Springs Listing Agent
I second Larry, Where have you been?  At the very least you should be here supervising what the rest of us are doing to keep us out of trouble. :)
Oct 15, 2007 10:56 PM
Katrina Madewell
Charles Rutenberg Rlty- More than 5,000 agents(813) 777-1196 - Tampa, FL
Tampa FL Homes for sale | Tampa Bay - (813) 777-1196
I had the opportunity to check out some of these communities in South Tampa, there are some fabulous $1M + homes that are stunning!
Nov 18, 2007 05:28 PM
David A. Podgursky PA
THE PODGURSKY GROUP @ Re/Max Direct - Boynton Beach, FL
THE PODGURSKY GROUP - Make the Right Move!

great info...

it is important to keep in mind that on the jumbo side, lending is still tough so getting a good appraiser the first time will keep underwriters and reviewers from stinking up a file

Nov 23, 2007 04:26 AM
Chris Griffith
Downing-Frye Realty, Bonita Springs, FL - Bonita Springs, FL
Bonita Springs Listing Agent
Happy New Year.  I haven't seen you around for a while. Is everything OK?  Stop in and say hi to us sometime.
Jan 12, 2008 08:26 AM