High-Balance vs. Jumbo in Hollywood: How to Know Which Tier You’re Really In

High-Balance vs. Jumbo in Hollywood: How to Know Which Tier You’re Really In

Hollywood buyers often land in the high-balance conforming zone. The problem: some lenders automatically quote jumbo pricing when they see a large loan amount—even if the property is eligible for high-balance conforming.

Why the Tier Matters

• High-balance conforming often runs 0.25%–0.50% lower APR than jumbo.
• Jumbo loans may require stricter reserves and lower DTI caps.
• Misclassification can cost thousands over the first 5–7 years.

Quick Signals Your Loan Might Be High-Balance (Not Jumbo)

1. Location in LA County with high-balance limits
2. Loan amount just above standard conforming, but below the high-balance cap
3. Strong credit tier (740+) and standard occupancy (primary residence)

How to Prevent Mispricing

• Ask the lender to confirm the tier in writing.
• Compare at least two lenders—one broker and one bank.
• Review the Loan Estimate for the pricing tier, not just the rate.

Hollywood Tip

In Hollywood Hills and Sunset Strip, jumbo is common—but in many West Hollywood and Studio City deals, high-balance conforming still applies. Don’t assume jumbo pricing just because the home is expensive.

High-balance pricing is one of the easiest places to save in Hollywood—if you confirm the tier before you lock.