A loan is considered jumbo if it exceeds the conforming and conforming high-balance loan limits. The current conforming loan limit for a single-family home is $417,000 for all states—except Hawaii and Alaska, where it is $625,500.
Jumbo loans have higher loan limits than others and are also known as non-conforming loans because they don't fit within the normal parameters set by Fannie Mae and Freddie Mac.
The loan amount that makes a loan Jumbo varies by location, contact me to find out what Jumbo loan amount you may qualify for in Bay Area. Non-conforming loans tend to have some flexibility that conforming loans don't have. Those include:
- Less than 20% down with no mortgage insurance
- Higher debt-to-income ratio
- Flexible income calculations
- Credit score requirements typically aren't any stricter than non-conforming loans
- Vast array of Jumbo loan programs to choose from
- Financing up to $5 million
Qualification criteria and terms vary. If you have large financing needs a jumbo loan is the answer for you.
Get started now to start the pre-approval process or give me a call at (408) 402-5936 with any questions that you may have.