Understanding Jumbo Loans
What Is A Jumbo Loan?
A jumbo loan is a mortgage that exceeds the conforming loan limit set for loans purchased by Fannie Mae and Freddie Mac. In 2026, the baseline conforming loan limit for a one-unit property in most of the country, including Maricopa County, Arizona, is $832,750. Loan amounts above the applicable county limit are generally considered jumbo loans.
Jumbo loans are often used by buyers purchasing higher-value homes, borrowers in competitive housing markets, or homeowners refinancing a larger mortgage balance. Because jumbo loans fall outside standard conforming loan limits, they are typically funded through private investor or lender programs instead of being sold under standard Fannie Mae or Freddie Mac guidelines.
How Jumbo Loans Are Different
Jumbo loans can offer many of the same basic structures as conventional mortgages, including fixed-rate and adjustable-rate options. The key difference is the loan amount. Since the loan is larger, lenders usually take a closer look at credit, income, assets, reserves, property value, and overall risk.
Approval requirements vary by lender, but jumbo borrowers are commonly expected to have stronger credit, lower debt-to-income ratios, documented income, and enough reserves to cover several months of mortgage payments after closing. The exact requirements depend on the purchase price, loan amount, down payment, occupancy type, and borrower profile.
2026 Jumbo Loan Limits In Arizona
For 2026, the standard one-unit conforming loan limit is $832,750 in most U.S. counties. Since Maricopa County is not a high-cost conforming county, a one-unit loan amount above $832,750 is generally considered jumbo financing. Loan limits can vary by county and property type, so buyers should confirm the applicable limit for the specific property before deciding which loan program fits best.
How Much Down Payment Do I Need?
Jumbo down payment requirements are program-specific. Some jumbo options may allow less than 20% down for highly qualified borrowers, while larger loan amounts or more complex scenarios may require a larger down payment. A 20% down payment is still a common benchmark because it can help strengthen the file, reduce leverage, and potentially improve available loan options.
Who Should Consider A Jumbo Loan?
A jumbo loan may be a good fit for borrowers purchasing a higher-value home, moving up into a larger property, buying in a premium neighborhood, or refinancing a mortgage balance above the conforming limit. The best jumbo structure depends on your credit profile, income documentation, assets, reserves, and long-term plans for the property.
Price Mortgage can help compare jumbo loan options, estimate your payment, review documentation needs, and determine whether jumbo financing is the right fit for your purchase or refinance.