What is a jumbo mortgage loan?
Jumbo mortgages are home loans that exceed conforming loan limits. A jumbo loan is one way to buy a high-valued or luxury home. Borrowers are required to have a low debt-to-income ratio and a high credit score.
The limit on conforming loans is $647,200 in most areas of the country, but jumbo mortgages can exceed these limits. If you’re considering buying a high-valued or luxury home, a jumbo loan may be right for you.
Keep in mind that if the home you are considering is in a high-cost area, you may still be able to obtain a conforming fixed-rate mortgage or adjustable-rate mortgage for up to $970,800.
Contact a mortgage loan officer to determine which mortgage loan is right for your particular needs and to learn more about jumbo loans and jumbo mortgage rates.