Bigger Homes. Bigger Goals. Smarter Financing.
Jumbo loans provide financing for higher-value properties when the mortgage amount exceeds conventional conforming loan limits.
What Are Jumbo Loans?
A jumbo loan is a mortgage used when the amount being financed exceeds the conforming loan limit established for the property's location. Because these loans are above the limits eligible for purchase by Fannie Mae or Freddie Mac, they are considered non-conforming mortgages.
Jumbo financing can provide qualified borrowers with access to larger loan amounts for higher-priced homes while offering a variety of financing structures and terms.
Because of the larger loan amounts involved, jumbo mortgages may have different qualification standards than conforming loans. Credit profile, income, assets, reserves, debt obligations, property type, and down payment can all play an important role in determining eligibility.
At a Glance
| High-Cost Areas | Higher conforming limits may apply based on property location |
| Credit Score | Stronger credit profiles may be required depending on the program |
| Income & Assets | Detailed income and asset documentation may be required |
| Baseline Limit | Jumbo generally begins above $832,750 for a one-unit property in most areas |
| Reserves | Additional financial reserves may be required |
Is a Jumbo Loan Right for You?
Is a Jumbo Loan Right for You?
- Need financing above the conforming loan limit for your area
- Are purchasing a higher-value or luxury property
- Have a strong overall credit and financial profile
- Have sufficient income, assets, and reserves to support a larger mortgage
- Want to explore financing for an eligible primary residence, second home, or investment property
Important Considerations
Qualification Requirements
Because jumbo mortgages involve larger loan amounts and fall outside conforming loan limits, qualification requirements can be more extensive. Lenders may place greater emphasis on credit, income, assets, debt-to-income ratio, and the borrower's overall financial strength.
Cash Reserves
Depending on the loan program and borrower profile, jumbo financing may require borrowers to demonstrate additional reserves after closing. Reserve requirements can vary significantly based on loan amount, occupancy, and other factors.
Down Payment Options
There is no single down payment requirement that applies to every jumbo mortgage. Available loan-to-value options depend on factors such as the loan amount, property type, occupancy, credit profile, and specific jumbo program.
Property & Appraisal
Higher-value properties can require additional appraisal review or valuation requirements. The exact requirements depend on the property, loan amount, and applicable loan program.
Explore Related Loan Programs
Conventional Loans
Flexible mortgage financing for loan amounts within applicable conforming limits, with options for primary residences, second homes, and investment properties.
LEARN MOREBank Statement Loans
Alternative financing that may allow eligible self-employed borrowers to qualify using bank statements rather than traditional income documentation.
LEARN MORE1099 Loans
Financing designed for eligible independent contractors and self-employed borrowers whose income is primarily documented through 1099 earnings.
LEARN MOREDSCR Loans
Investment property financing that may qualify eligible real estate investors primarily using the property's rental income rather than traditional personal income documentation.
LEARN MORECommon Questions About Jumbo Loans
A jumbo loan is a mortgage with a loan amount above the applicable conforming loan limit established by the Federal Housing Finance Agency. Because it exceeds the amount eligible for purchase by Fannie Mae or Freddie Mac, it is considered a non-conforming mortgage.
There is no single government-established maximum that applies to all jumbo mortgages. Maximum loan amounts depend on the lender, specific loan program, borrower qualifications, property, and other underwriting requirements.
Not necessarily. Down payment requirements vary by jumbo program, loan amount, property type, occupancy, and borrower qualifications. Some qualified borrowers may have options requiring less than 20% down.
Yes. Certain jumbo programs allow qualified borrowers to finance eligible second homes, subject to applicable down payment, reserve, credit, and underwriting requirements.
See What Options May Work for You
Loan programs, rates, terms, loan amounts, and eligibility requirements are subject to change and may vary based on borrower qualifications, property type, occupancy, loan-to-value, loan amount, and other factors. Not all applicants will qualify. Contact Premier Point Mortgage for current program requirements and available options.
