Jumbo loans can sometimes offer lower interest rates than conforming loans because lenders may compete to secure your business.
These loans are designed for properties that exceed conforming loan limits, often offering competitive interest rates.
Enjoy all the benefits of a VA loan, including potentially better interest rates than conforming loans, including an excellent jumbo loan rate.
A jumbo loan is non-conforming loan that exceeds the loan limits set by the Federal Housing Finance Agency (FHFA). Simply put, these loans are for properties that are more expensive than what a conventional loan can cover. Because jumbo loans exceed the conforming loan limits, they are considered riskier for lenders. This is because they can’t be guaranteed by Fannie Mae and Freddie Mac, which are government-sponsored enterprises (GSEs) that buy mortgages from banks. To compensate for this risk, jumbo loans often come with stricter qualification requirements, such as a higher credit score and a larger down payment (typically 10% to 15% of the purchase price) compared to conforming loans. As of 2024, the FHFA limit for conforming loans is $766,550 in most counties across the United States. However, this limit can be higher in certain high-cost areas.
Working with a big bank for your jumbo loan comes with certain perks. However, working with a mortgage brokerage such as Eureka Mortgage Planning, offers benefits large corporations can’t provide for you.
Eureka Mortgage Planning
BofA, Chase, Wells Fargo
