Jumbo mortgage benefits & guidelines
Whether you’ve outgrown your starter home or are ready to upgrade, a jumbo loan could help you afford a more expensive home. A jumbo loan is simply a larger mortgage for a home that exceeds loan limits and is classified as non-conforming by a government agency. Certain areas of the country may have higher limits due to regional real estate prices.
Jumbo mortgage guidelines
To qualify for a Jumbo mortgage, you will need:
- Minimum credit score of 660
- Down payment of 10%
- DTI ratio of 43% or lower
While a 20% down payment is standard, some lenders—like Rate—offer options starting at 10% for qualified borrowers. Jumbo loans usually don’t require mortgage insurance, providing a cost-saving benefit for those meeting the lender’s requirements.
