Loans
Jumbo Loan
A mortgage that exceeds the conforming loan limits set by Fannie Mae and Freddie Mac, currently $806,500 in most areas for 2026. Because jumbo loans cannot be purchased by these agencies, they carry more risk for lenders and typically require higher credit scores (700+), larger down payments (10% to 20%), and more cash reserves. Interest rates on jumbo loans can be slightly higher or comparable to conforming loans depending on market conditions.
Why It Matters
Understanding Jumbo Loan is a key part of choosing the right mortgage. The type of loan you select affects your monthly payment, how much interest you pay over the life of the loan, and how much flexibility you have if your financial situation changes.
When comparing loan options, pay attention to how jumbo loan fits into the bigger picture of your borrowing costs. A knowledgeable loan officer or mortgage broker can help you evaluate whether this option aligns with your financial goals and timeline.