What is jumbo loan?
A mortgage that exceeds conforming loan limits and therefore cannot be sold to Fannie Mae or Freddie Mac as a standard conforming loan; it usually requires stronger credit, larger down payments, lower DTI, and more reserves.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.