jumbo loan
Beyond-limit financing
A jumbo loan is a mortgage that exceeds the lending limits set by government-sponsored entities like Fannie Mae and Freddie Mac.
Because these loans can't be sold to those agencies, lenders take on more risk and typically require higher credit scores, larger down payments, and charge higher interest rates.
They needed a jumbo loan for the $2 million house.
- down paymentInitial sum toward purchase
- Freddie MacSecondary mortgage market corporation
- Fannie MaeFederal mortgage corporation
- reverse mortgageLoan drawing on home value
- conformingMeeting accepted standards
refinancing · debt-to-income ratio · amortization · principal · interest rate · million-dollar · prepayment penalty · escrow account · closing costs · foreclosure · wealthy · underwriting · deed of trust · high-end · luxury real estate · luxury · conventional · mortgage lender
- mortgagesfixed-rate mortgage, mortgage broker, adjustable-rate mortgage, mortgage payment, mortgage insurance
- mortgage termsmortgages, home loans, foreclosure, lien, interest rates
- creditcredit card, credit score, credit limit, credit cards, credit scores
- Refinancing Termsclosing costs, interest rate, rate lock, break-even point, prepayment penalty