Competitive rates and flexible terms for high-value properties beyond conventional loan limits.
🔑 What is a Non-Conforming Loan?
Higher Loan Limits
Finance homes above conventional limits
Flexible Loan Terms
Fixed and adjustable-rate options
No Private Mortgage Insurance (PMI)
Avoid PMI with 20% down
Competitive Interest Rates
Get great rates even on larger loans
Jumbo loans are designed for financing properties that exceed the conforming loan limits set by the Federal Housing Finance Agency (FHFA). These loans enable buyers to purchase luxury homes or properties in high-cost areas without the constraints of standard loan limits. Borrowers typically need a strong credit profile, a substantial down payment, and must meet specific income and debt-to-income ratio requirements. Jumbo loans offer competitive interest rates and flexible terms, making them an excellent option for qualified buyers seeking higher-value properties.
💰 Luxury Home Financing Requirements & Qualifications
Jumbo loans provide financing for high-value homes that exceed conventional loan limits. These loans are designed for borrowers purchasing luxury homes or properties in high-cost areas. To qualify, borrowers typically need a strong credit profile, a larger down payment, and must meet specific income and debt-to-income ratio requirements
See official Fannie Mae Jumbo Loan requirements.
🏡 Key High-Balance Loan Features & Eligibility
✅Loan Amounts Exceed Conventional Limits (Typically $806,500+, varies by location)
✅Minimum Credit Score – Typically 700+
✅Down Payment – As low as 10-20%
✅Debt-to-Income (DTI) Ratio – Typically 43% or lower
✅Fixed & Adjustable-Rate Options
🏠 Who Should Consider a Jumbo Loan?
- ✔ High-income borrowers – Strong income to meet higher loan payments
- ✔ Excellent credit history – Typically a 700+ credit score
- ✔ Low debt-to-income (DTI) ratio – Usually 43% or lower
- ✔ Large down payment – Often 10-20% or more
- ✔ Luxury home buyers & investors – Purchasing properties exceeding conforming loan limits
💰 Jumbo Loans vs. Conventional Loans: Key Differences
When buying a luxury home or a high-value property, it’s essential to choose the right financing. Here’s How Non-Conforming Loans compare to Conventional Loans:
| Feature | Jumbo Loan | Conventional Loan |
|---|---|---|
| Loan Limits | Over $806,500 (varies by location) | Up to $806,500 (2025 limit) |
| Down Payment | Typically 10-20% | As low as 3% |
| Credit Score | 700+ recommended | 620 minimum |
| Debt-to-Income (DTI) | 43% max (sometimes lower) | Can go up to 50% |
| Reserves | 6-12 months of mortgage payments required | 1-2 months typically required |
| Interest Rates | Slightly higher than conventional | Lower rates for smaller loans |
🏡 Which Loan is Right for You?
Jumbo Loans are best for high-income earners buying luxury homes.
Conventional Loans are better for buyers with smaller loan amounts.
Learn more about Conventional Loans here.
Jumbo Loan Process (Step-by-Step Guide)
Pre-Approval
Verify eligibility and confirm financial qualifications for a high-balance mortgage
Find a Home
Work with a realtor to select a high-value property exceeding conforming loan limits
Submit Your Application
Provide financial documentation and meet stricter underwriting requirements
Close on Your Home!
Finalize your loan, secure the financing, and receive the keys 🎉
Jumbo Loan FAQs
- What is a Jumbo Loan?
A loan that exceeds conventional loan limits, allowing you to finance high-value properties.
- What credit score do I need?
Most lenders require a 700+ credit score, but some allow lower with strong financials.
- Do Jumbo Loans require PMI?
Not required if you put at least 20% down. Some lenders offer PMI-free options with lower down payments.
🏡 Ready to Become a Homeowner? Let’s Get Started!
📢 Take the next step—get pre-approved today and move closer to homeownership!
Thinking About Refinancing?
💰 If you’ve already secured a Jumbo Loan but want a lower rate or better terms, refinancing could be a smart move. Learn more about Jumbo Loan Refinancing Options and see if it’s the right time to refinance!
Fannie Mae’s High LTV Refinance (HLT Refi) program helps borrowers with limited equity refinance into better terms, even if their home value hasn’t increased significantly.