What makes it jumbo
A loan is jumbo when it exceeds the conforming loan limit for the county, set each year by the FHFA. Jumbo loans are not bought by Fannie Mae or Freddie Mac, so each investor sets its own rules.
Typical jumbo cash-out features
- Cash-out caps: many investors limit the dollar amount of cash out in addition to the loan-to-value.
- Reserves: months of payments held in liquid or retirement assets after closing.
- Credit: stronger credit profiles are generally expected.
- Appraisal: high-value homes may need a second appraisal or a review.
Alternatives
A HELOC or home equity loan may let you keep an existing first mortgage. Compare total costs.
Self-employed borrowers
Expect full tax returns and business documentation. Some lenders offer bank-statement or asset-based programs under non-QM guidelines, which carry different terms.
Check current conforming limits at FHFA.
Keep reading
This page is general education. Program rules change; confirm current requirements with the official sources linked here and with a licensed lender.