2023 Conforming Loans
If you have been browsing Camarillo homes for sale, you have likely had your eye on the upcoming change in conforming loan limits. The upcoming year of 2023 will hold higher conforming loan limits for Ventura County. A high balance conforming loan will now have a limit of $948,750 and a standard conforming loan limit of $726,200. The increase in the conforming loan limits will allow buyers to purchase higher priced homes with greater ease and lower interest rates.
Ventura County has seen a significant increase in home values over the last 2 years, making it difficult for buyers to stay within the conforming loan limits. The limit increases in the upcoming year will help buyers fit into a conforming loan. A conforming loan tends to be seen as less risky for the investor and therefore is able to offer a lower interest rate. You may ask yourself why someone would ever venture outside of a conforming loan. The reason many buyers are forced outside of a conforming loan is that either their purchase price is too high, or they may have poor credit. There is also the chance that there is an extenuating circumstance. An example may be that the buyer has recently switched careers and lacks the two year work history most investors prefer to see.
The bottom line is if you are able to stay within a conforming loan you should do so. When considering Camarillo homes for sale we highly recommend sticking to a conforming loan to help save money on your interest rate as mortgage interest rates continue to rise in the new year. While a high balance conforming loan may have a slightly higher interest rate than a standard conforming loan, it will still be significantly easier to get with a better rate than a jumbo loan.