South Carolina Jumbo Loan Guide
See what a lender may look at when you need a larger loan.
Explore jumbo loansJumbo Loans: How Much Do You Need in Reserves?
AI-generated illustrations for this guide.
A South Carolina homebuying guide
Keep enough cash to cover your move, early repairs, and a bad month. Ask your jumbo lender how much money you need to show after closing and which accounts count. Then make your own plan for what you’ll need in the bank once you get the keys.
Start with what you’ll pay at closing
Find “Estimated Cash to Close” on page 2 of your Loan Estimate. It shows what you’re expected to bring after your down payment, closing costs, and any deposit or credits are figured in. If you’ve already paid the deposit, use today’s bank balance and the cash still due. This keeps you from subtracting the deposit twice.
Later, check the cash-to-close figure on your Closing Disclosure. If it changed, ask what moved and update your plan for the cash you’ll have left.
How many months of reserves might you need?
Reserves are funds you can show will still be there after you pay for closing. Some jumbo loan programs ask for six to 12 months of housing payments in reserve. Others ask for fewer months, and some ask for more on larger loans. How much you put down, how you’ll use the home, and whether you have other mortgages can also affect what you need. See what can vary in our South Carolina jumbo loan guide.
Ask what counts as a month of payments. The lender may include property taxes, home insurance, and HOA dues along with the loan payment. Your Loan Estimate can help you find those costs. Then ask which accounts count and how much of an investment or retirement balance the lender can use.
Set aside cash for the first few months
Write down what you’ll spend soon after closing. Think about the move, work flagged in the home inspection, and bills that may arrive before you settle in. Then choose how much cash to keep for a surprise bill or a drop in income. Base that amount on your household bills and the risks you’d want to cover. The CFPB’s emergency fund guide can help you set that goal.
If you’re buying near the South Carolina coast, ask your agent what wind coverage would cost for that address and what you’d pay on a claim. Check flood costs separately.
Is $50,000 enough after closing on a jumbo loan?
Let’s look at what $50,000 could cover after closing.
Start with the $50,000 left over in our down payment example. Say the lender counts your savings and asks for six months of housing payments at $5,000 a month. You show $30,000 of the savings you already have. Then you plan for a $6,000 move and $9,000 in repairs.
| Your cash plan | Amount |
|---|---|
| Savings after closing | $50,000 |
| Moving and repairs | −$15,000 |
| Savings after moving and repairs | $35,000 |
| Set aside for emergencies | −$20,000 |
| Cash beyond your emergency fund | $15,000 |
The lender checks the savings you’ll have after closing. You then decide how much of those savings to set aside for emergencies once the move and repairs are paid for. Use your own lender’s reserve amount and the costs you expect for your home.
If there’s too little room left, compare a lower offer, a less costly home, or a different down payment if your lender can offer one. Check what each choice does to both your monthly payment and your savings.
Should you keep extra cash in reserve if the home is in a floodplain?
If the home is in a floodplain, consider keeping more cash on hand after closing. Your deductible, a place to stay, and repairs your policy may leave out can all draw on your savings. Use those costs to set your own savings goal. Ask your jumbo lender how much it needs you to show in reserves for the loan.
Check the home’s address on South Carolina’s flood maps before you make an offer. Ask your lender if you’ll need flood insurance, and ask an agent for a quote for that home. Most homeowners policies leave out flood damage. The South Carolina Department of Insurance gives examples, such as water that comes in from a creek that overflows or from storm surge.
For a single-family home, the National Flood Insurance Program (NFIP) offers up to $250,000 for the building and up to $100,000 for belongings. Building coverage can help pay for damage to the walls, wiring, and heating system. You buy coverage for belongings, such as furniture and clothes, separately. Each has its own deductible, the part of a covered loss you pay. See what the NFIP covers and how the limits work.
Here’s one way to plan for the cost. Say a flood does $25,000 in covered damage to your home, within your policy limit. With a $5,000 building deductible and $3,000 for a place to stay, you’d pay $8,000 for those two costs. An NFIP policy leaves out temporary housing and extra living costs. You may also have to pay for repairs above your policy limit.
Before you decide how much cash to keep, ask your agent for the yearly cost, both deductibles if you buy both types of coverage, and the cost to rebuild compared with the building limit. Put the yearly cost in your home budget and leave room in your savings for bills you’d have to cover after a flood.
For the rest of your budget, see what a coastal home can cost beyond the mortgage.
Can you access the money you’re counting as jumbo reserves?
Ask which funds your lender will count toward reserves. Then check how fast you could get to that money if a bill came up after closing.
If you plan to use money from a home sale, start with what you’d keep after paying off the old loan and covering the costs of the sale. Ask how much of that money you’d have left for reserves after paying for the new home. Check what proof your lender needs and what happens if the sale closes late.
If your money is in investments, ask how much of the balance your lender can count while it’s still invested. If you already plan to sell investments, check when the cash will be ready to transfer. Ask what records to keep. The CFPB explains why lenders may ask you to show where a large deposit came from.
Common questions about jumbo loan reserves
Can I use my 401(k) as reserves for a jumbo loan?
Some jumbo programs count money in a 401(k). Ask how much of your balance counts and what proof the lender needs. Check with your lender before moving or taking money out of the account.
Can my emergency fund count as jumbo loan reserves?
Yes, if your lender accepts the account and the money will still be there after closing. If you plan to spend some of it on your move or repairs, check how much you’ll have left for emergencies.
Do I need more reserves if I already have a mortgage?
You might. Some jumbo programs ask for extra reserves if you still have a loan on another home. Tell your lender if you’ll sell it, keep it, or rent it out. Ask what changes if you still own it when you close.
More help planning your purchase
Jumbo loan or larger down payment?
See how two down payments change the loan size and the cash you keep.
Compare down paymentsTry a monthly payment
See how the loan size, taxes, and insurance can change your payment.
Use the payment calculatorYour next step
Let’s run your numbers together
Tell us the home price, what you’d like to put down, and whether you’re selling another home. We’ll help you get real numbers for your purchase. Together we can work out what you’d bring to closing, how much you may need in reserves, and what you’d have left.
General education. Loan terms and eligibility depend on a full review. Beaufort Lending, NMLS #1703543. Equal Housing Opportunity.