Jumbo Loan
mortgageDefinition
A jumbo loan is a mortgage that exceeds the conforming loan limits set by the Federal Housing Finance Agency, which vary by county but are typically over $766,550 for most of the country. Because jumbo loans cannot be purchased or guaranteed by Fannie Mae or Freddie Mac, they carry more risk for lenders and generally require a higher credit score, larger down payment, and more cash reserves than conforming loans.