down payment can be as low as 3.5% of the purchase price. Available on 1–4-unit residential properties. There is an upfront and a monthly charge for Mortgage Insurance because of the low down-payment.
Jumbo Loan Programs
As discussed earlier, jumbo loans—also known as non- conforming loans—exceed the loan limits set by the Federal Housing Finance Agency (FHFA). A conforming loan meets these limits and is eligible for purchase by Fannie Mae or Freddie Mac. For 2025, the conforming loan limit for a single-family home in most of the contiguous U.S. and Washington, D.C. is $802,650. In designated high-cost areas—such as parts of California, New York, Hawaii, Alaska, and Connecticut—the limit rises to $1,203,975. Limits are higher for 2–4 unit properties. Your loan officer can confirm the specific limit for your area. Jumbo loans exceed these limits and are subject to stricter qualification requirements. These typically include: • Higher income • Lower debt-to-income (DTI) ratio • Higher credit score (FICO) • Greater asset reserves (e.g., cash, savings, investments, retirement accounts) available after closing Because jumbo loans aren’t backed by Fannie Mae or Freddie Mac, lenders take on more risk—and require stronger financial profiles to compensate.
A Non-QM Mortgage
A Non-QM (Non-Qualified Mortgage) is a type of loan that does not meet the criteria or "qualifications" set forth by the Consumer Financial Protection Bureau (CFPB) for conventional mortgages, often referred to as Qualified Mortgages (QM). The
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