A jumbo loan is a mortgage designed to finance higher-value properties that exceed the conforming loan limits set by the Federal Housing Finance Agency (FHFA) for conventional loans. Because jumbo loans are considered non-conforming mortgages, they may have different qualification requirements than conventional conforming loans.
Jumbo loans can be an option for borrowers purchasing or refinancing higher-priced homes when the amount needed exceeds the applicable conforming loan limit for the property location.
Key Features
- Higher Loan Amounts: Jumbo financing may allow eligible borrowers to finance properties that exceed applicable conforming loan limits.
- Flexible Loan Options: Depending on the loan program, jumbo loans may be available with fixed or adjustable interest rates and different term options.
- Higher-Value Properties: Jumbo loans may be suitable for borrowers purchasing or refinancing higher-priced primary residences, second homes, or eligible investment properties.
- Location-Specific Limits: Conforming loan limits vary by county and can change over time, so the applicable limit depends on the property’s location and the current FHFA guidelines.
At Simplex Lending, we offer jumbo loan options for eligible borrowers seeking financing for higher-value properties. Contact us to learn more about jumbo financing and find out whether a jumbo loan may be right for your situation.