Jumbo mortgage loans are usually confusing to the average mortgage consumer. No one seems to know what defines a Jumbo mortgage loan, and no one realizes that there can be different underwriting guidelines for Jumbo mortgage loans than for non-Jumbo (also called Conforming) mortgage loans.
Jumbo loan amounts may vary county by county.
It is first important to know that there can be three different loan amount categories. There are:
- Conforming loans, which in 2019 go up to $484,350
- Conforming “High Balance” loans, which can go from $484,351, to as high as $726,525 if you are in a high cost area.
- Jumbo loans (also called Non-Conforming loans) are loans higher than the county Conforming loan limit.