Jumbo Loan
A mortgage that is the primary lien against a property.
Say you want to buy a home with a huge price tag but you don't want to take out the huge mortgage to go with it. What do you do? Ask your loan officer for a Jumbo Home Loan.
Conventionally, you pay a higher interest rate to borrow more than the mortgage limit set by two federal mortgage agencies - Fannie Mae and Freddie Mac. Mortgages greater than the limit are referred to as "jumbo loans."
Jumbo loan is any loan above the $252,700 conventional loan limit set by the secondary mortgage market for single-family homes in the continental U.S. ($379,050 in Alaska, Hawaii and the U.S. Virgin Islands). This also applies to refinanced loans. Limits are higher on multifamily residences. The loan limit for second mortgages will increase to $126,350. In Alaska, Hawaii, and the U.S. Virgin Islands, it will increase to $189,525.
