Jumbo Loan

A Jumbo Loan benefits those in the market for a high-priced property without the ability to pay cash as well as buyers interested in an investment property or second home.

Home prices have shot up in some areas of the U.S. to the point where buyers need jumbo loans to finance them. Jumbo mortgages are meant for houses that exceed the dollar amount loan-servicing limits put in place by GSE’s Freddie Mac and Fannie Mae. This makes them non-conforming loans. Borrowers can get fixed or adjustable-rate jumbo mortgages with various term options.