A Jumbo loan is a mortgage where the amounts exceed conforming loan limits as set by Fannie Mae and Freddie Mac. Qualifying properties include primary residences, second homes, and investment properties.
Overall, Jumbo loans don’t differ much at all from regular standard conforming loans. They are available in fixed-rate or adjustable-rate, 15-year and 30-year terms, and offer the same payment schedules as conventional loans. However, mortgage rates on Jumbo loans can fluctuate higher or lower from conventional mortgages.
The main benefit of a Jumbo loan is that you can borrow more money than the limits set by Fannie and Freddie. As home prices continue to rise, Jumbo loans remain a strong option for those wishing to finance more than conforming loan limits. And, as an added bonus, Bison Ventures happens to be experts in the Jumbo loan market!