What is a Jumbo Loan?
Fannie Mae and Freddie Mac buy mortgages from lenders and either hold those mortgages or bundle them as mortgage backed securities to be sold on the stock market. These agencies set limits on the types of loans they buy. Those that fall within those limits are known as Conforming loans.
Loan limits for Conforming Loans are $453,100 and $679,650 in high-cost areas. If you are considering buying a home in a high-cost area, you still may be able to obtain a Conforming loan for up to $679,650.
A Jumbo loan is one that falls above these loan limits and is therefore considered a Non-Conforming loan. Jumbo loans are ineligible for purchase by Freddie Mac and Fannie Mae and must be sold on what is referred to as the secondary market. Loans sold on the secondary market typically have more stringent credit requirements and may require a larger down payment.
Why choose a Jumbo Loan?
A Jumbo loan is a possible option to consider if you are thinking about purchasing a higher-priced home. Jumbo loan rates have reached historic lows in recent years. If you have a decent down payment, a higher credit score and a lower debt-to-income ratio, a Jumbo loan could be a good way to purchase the home of your dreams. George Mason Mortgage Jumbo loans are available in both fixed and adjustable rate products and can be used for primary residences, second homes, vacation homes and investment properties.
The Federal Housing Finance Agency (FHFA) publishes annual conforming loan limits that apply to all conventional mortgages delivered to Fannie Mae and Freddie Mac, including general loan limits and the high-cost area loan limits. High-cost area loan limits vary by geographic location. For more information: https://www.fhfa.gov/DataTools/Downloads/Pages/Conforming-Loan-Limits.aspx
VP, Senior Loan Officer
Fairfax Corner Branch
4100 Monument Corner Drive, Suite 100
Fairfax, VA 22030
For over 30 years, I have been helping people realize their dream of home ownership--owning a piece of this great land with a mortgage. My team does 1st time homebuyer programs (FHA, VHDA and more), as well as Jumbo Loans with limits of $2Million+ and no MI. We excel at VA loans for the significant veteran population across the DC Metro area.
If you are looking to complete a custom design/build project, my team offers the best ‘one-time close’ Construction loan available in today’s market.
A graduate of The University of Maryland at College Park, I’ve lived in the Northern Virginia and DC Metro area for 40+ years. I possess a keen understanding of how this area has changed, the effects of market fluctuations on the mortgage rates and have grown a substantial network in the financial services world. Working with real estate professionals across the DC area, I have participated in thousands of transactions with satisfied, repeat customers. If it is a residential real estate transaction, George Mason Mortgage has all the loan programs required. I can offer different options to make the best fit. The goal is to find the right program for you.
I am currently a Vice President & Senior Loan Officer with George Mason Mortgage – an industry-leading mortgage lender. My experienced staff is great and we look forward to working with you.
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