A jumbo loan is a mortgage larger than the conforming loan limit, which is $832,750 for a single-family home in most of the U.S. in 2026 and up to $1,249,125 in high-cost areas. Because Fannie Mae and Freddie Mac can’t buy these loans, lenders set their own, stricter rules: typically a credit score of 700 or higher, 10% to 20% down, a debt-to-income ratio under 43%, and 6 to 12 months of payments in reserve.
This guide covers the 2026 limits, the typical requirements, what a jumbo payment looks like, and how some buyers stay under the limit to avoid a jumbo loan entirely.
Key takeaways
- 2026 conforming limit: $832,750 for one unit in most counties, up to $1,249,125 in high-cost counties.
- Most jumbo lenders want a 700 to 720 credit score, though some go as low as 680 with more money down.
- Expect to show 6 to 12 months of payments in savings or investments after closing.
- Jumbo rates are often close to conforming rates, so compare both before you decide how much to put down.
In this guide: 2026 loan limits · Requirements · Payment example · Avoiding a jumbo loan · Jumbo vs. conforming · FAQ
2026 conforming loan limits
The Federal Housing Finance Agency raised the baseline limit 3.26% for 2026, in line with home prices. Any loan above the limit for your county is a jumbo loan.
| Property | Most of the U.S. | High-cost areas (maximum) |
|---|---|---|
| 1 unit | $832,750 | $1,249,125 |
| 2 units | $1,066,250 | $1,599,375 |
| 3 units | $1,288,800 | $1,933,200 |
| 4 units | $1,601,750 | $2,402,625 |
High-cost limits apply county by county, in places like much of California, the New York City area, Washington, D.C., and Boston, and Alaska and Hawaii have higher limits too. Check your county on the FHFA website. FHA limits follow a similar pattern, from $541,287 to $1,249,125 for one unit in 2026, and VA loans have no limit for borrowers with full entitlement.
Jumbo loan requirements
| Requirement | Typical jumbo loan | Conforming loan, for comparison |
|---|---|---|
| Credit score | 700 to 720+ | 620+ |
| Down payment | 10% to 20%, sometimes 5% | 3% to 5% |
| Debt-to-income ratio | 43% or lower, sometimes up to 45% | Up to 50% |
| Cash reserves | 6 to 12 months of payments, more for larger loans | Often 0 to 2 months |
| Appraisal | One full appraisal, often two above $1.5 to $2 million | One, sometimes waived |
| Income documentation | Two years of tax returns, W-2s, pay stubs, statements | Similar, with more automated approvals |
Requirements vary more between jumbo lenders than for any other loan type, because each lender writes its own rules. Banks and credit unions that keep loans on their own books sometimes offer better terms to customers with large deposits there.
Your credit score and debt-to-income ratio matter even more for jumbo loans, since there’s no government program to fall back on.
Jumbo loan payment example
A $1.2 million home with 20% down needs a $960,000 loan, which is above the baseline limit.
| Rate | Principal and interest | With 1.1% property tax and $4,800 insurance |
|---|---|---|
| 7.00% | $6,387 | $7,887 |
| 7.32% | $6,595 | $8,095 |
| 7.50% | $6,712 | $8,212 |
To qualify at 7.32% with a 43% debt-to-income limit and no other debt, you’d need an income of about $226,000 a year. Twelve months of reserves would be about $97,000 in the bank after closing. Most jumbo loans with 20% down don’t have PMI. Try your own numbers below.
Jumbo Loan Payment Calculator
Full guide: mortgage payment calculator with taxes, insurance and PMI
Your full monthly payment: principal, interest, property tax, homeowners insurance, PMI or FHA mortgage insurance, and HOA dues.
Loan balance and what you pay over time
Each year’s principal and interest, and the balance left at year end.
Year-by-year amortization table
| Year | Principal | Interest | Balance |
|---|
How to avoid a jumbo loan
- Put more down. On a $1.2 million home in a county with the $832,750 limit, a down payment of $367,250 (about 31%) keeps the loan conforming.
- Use a piggyback loan. A first mortgage at the conforming limit plus a home equity loan or line for the rest, sometimes called an 80-10-10.
- Check your county’s limit. In a high-cost county, the same loan may be conforming.
- Consider a lower price. For a $1 million home, 20% down leaves an $800,000 loan, which is conforming in every county.
Staying conforming opens up 3% to 5% down payments, more lenders and easier approval. But if jumbo rates in your area are similar, putting less down and keeping more savings can be the better choice.
Jumbo vs. conforming loans
| Jumbo | Conforming | |
|---|---|---|
| Loan size | Above the county limit | Up to the county limit |
| Who sets the rules | Each lender | Fannie Mae and Freddie Mac |
| Rates | Often similar, sometimes lower or higher | Benchmark rates |
| Fixed and ARM options | Both; ARMs are common | Both |
| Mortgage insurance | Usually none with 20% down | PMI below 20% down |
If you’re weighing an adjustable rate to lower a large payment, read our guide to fixed vs. adjustable-rate mortgages. For loans under the limit, see conventional loan requirements.
Frequently asked questions
What is the jumbo loan limit for 2026?
Any one-unit loan above $832,750 in most counties, or above your county’s limit in high-cost areas, up to $1,249,125.
Are jumbo loan rates higher?
Not necessarily. Jumbo rates move with the bond market and lenders’ appetite for large loans. They’ve often been within a few tenths of a point of conforming rates, sometimes below. Compare quotes for both.
Can I get a jumbo loan with 10% down?
Yes, many lenders offer 10% down jumbo loans with strong credit, usually 700 or higher, and sometimes PMI. A few go to 5% down.
Can I get an FHA or VA jumbo loan?
FHA loans have their own county limits, up to $1,249,125 in 2026. VA loans have no limit for borrowers with full entitlement, though lenders may have their own caps.
The bottom line
A jumbo loan is a normal mortgage with stricter rules. Strong credit, a solid down payment and plenty of reserves get you the best terms. Compare it with staying under your county’s limit before you decide how much to put down.
Estimates only. HomeAffordLab is not a lender and does not provide financial advice. This page may contain ads. See our Advertising Disclosure.
Sources: FHFA: Conforming loan limit values for 2026 · HUD: FHA 2026 loan limits · VA: Home loan limits · Freddie Mac Primary Mortgage Market Survey, Oct 22, 2026