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Jumbo Loans

Jumbo Loans

Non-conforming loans, popularly known as “jumbos,” are designed to give qualified borrowers the power to buy a luxury home.

You can also get a jumbo refinance loan that lets you combine your primary mortgage with a Houston home equity loan so that you can take advantage of one great rate for everything.

The main difference between a jumbo and a conforming, or conventional, loan is the size of the property and the amount of the loan.

What is a Jumbo Loan?

The main difference between a jumbo and a conforming, or conventional, loan is the size: Jumbos are loans of over $417,000 — the maximum limit on a federally backed loan such as a Fannie Mae mortgage.

Because non-conforming loans are bigger than those that have a federally backed guaranty, you have to go through a private lender to get the financing for a jumbo. And because these loans are so big, you can expect more scrutiny in order meet the qualifications for the loan.

Otherwise these loans behave the same way as other mortgages. You can refinance with a jumbo loan, and you have the option of either fixed or adjustable rate mortgages (ARMs).

jumbo loan approval

Lenders are looking for evidence of solid financial security when prospective homeowners come to them looking to get a jumbo loan.

What’s more, you can expect the appraisal process on be lengthy, as lenders want to be absolutely sure that the house is worth the investment.

Standard non-conforming

A standard non-conforming loan is a single loan that you will use to pay for your house. The Houston jumbo loan limit varies depending on the program you choose; loans amounts can go as high as $2,000,000.

Houston jumbo loan rates tend to be higher than conforming rates. Our expert team of Mortgage Bankers will be glad to explain whether this loan is a good fit for you.

“blended” jumbo loans

A blended jumbo loan lets you roll the balance on your existing primary mortgage loan and a home equity loan together into one. This option has certain financial advantages, depending on prevailing mortgage rates.

Blended jumbos are available in either fixed or ARMs, and some loans have the option of a temporary buydown so that you can pay less interest in the first few years of the loan.

what do you need?
  • Low debt-to-income ratios.
  • Excellent credit.
  • The ability to make a down payment of at least 10 percent.
  • A career or work history that ensures against future default.

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1st Alliance Mortgage LLC
NMLS: 1407

750 William D. Fitch Pkwy
College Station, TX 77845

Phone: (713) 338-2084
Fax: (832) 494-1538