Quick answer
A jumbo loan is a conventional mortgage larger than the conforming loan limit for its county — above $832,750 for a one-unit home in most of the US in 2026, and above as much as $1,249,125 in high-cost areas. Because Fannie Mae and Freddie Mac can’t buy it, the lender keeps the loan or sells it to private investors.
Key facts
What changes above the limit
There is no national rulebook for jumbo loans, so each lender or investor sets its own standards. Lenders commonly ask for higher credit scores, larger down payments and more cash reserves than on a conforming loan, and the CFPB notes that a jumbo mortgage may cost more. Most are still covered by the ability-to-repay rule, and many are written as Qualified Mortgages.
Example: crossing the line
In a county at the baseline limit, a $1,000,000 home bought with 10% down needs a $900,000 loan — $67,250 over the limit, so it’s a jumbo loan. A down payment of $167,250 (16.7%) would bring the loan down to the limit and keep it conforming. Check your county’s figure under conforming loan limit, and see the jumbo loans guide for typical requirements.
Related terms
- Non-QM loan, another kind of loan outside the Fannie Mae and Freddie Mac rules
Sources
- FHFA — 2026 baseline conforming loan limit (one-unit); 2026 high-cost area conforming ceiling (one-unit) (2026 limit)
- CFPB: What is a jumbo loan?
Last reviewed Figures are checked against the sources above. Read our editorial policy. This page is general information, not financial advice — see the disclaimer.