Jumbo Loans for High-Value Properties

Jumbo loans are designed for homes that exceed standard loan limits. They are ideal for buyers in higher-priced markets like Northern Virginia. Also called non-conforming conventional mortgages, jumbo loans are considered riskier for lenders because these loans can’t be guaranteed by Fannie Mae and Freddie Mac, meaning the lender is not protected from losses if a borrower defaults. Jumbo loans are typically available with either a fixed interest rate or an adjustable rate, and they come with a variety of terms.

How Jumbo Loans Work

These loans go beyond the limits set by Fannie Mae and Freddie Mac. When you’re shopping for a jumbo loan, it’s smart to make sure your finances are in as good a shape as possible. This means bolstering your savings and pulling your credit reports from the three main credit reporting agencies — Experian, Equifax and TransUnion — then addressing any errors you find. You might also pay down any larger balances.

Because jumbo loans tend to have stricter requirements than conventional or government-backed loans, anything you can do to improve your financial profile will also likely improve your rate offers.

Basic Requirements

• Credit score: typically 700+

• Down payment: 10–20%

• Strong income and reserves

• Lower DTI preferred

What Makes Jumbo Loans Unique

• Financing for luxury and high-value homes

• Competitive rates for qualified borrowers

• Tailored underwriting