Buying a home above the conforming loan limit means a different set of rules. Here's how jumbo loans work, and how to make sure you're comparing the right options.
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Most home loans follow limits set each year by the Federal Housing Finance Agency. A loan above that limit is a jumbo loan.
For 2026, the official limit in Clark and Cowlitz Counties is $832,750 for a single-family home. The 2027 limit hasn't been announced yet, but some lenders are already lending up to an estimated 2027 limit of $847,440 for a single-family home. That means a loan between $832,750 and $847,440 may qualify as a standard conventional loan instead of a jumbo. Appraisal waivers aren't available on loans in that range.
Example: a $1,200,000 home with 20% down needs a $960,000 loan. That's above both limits, so it's a jumbo loan.
Standard loans follow one rulebook set by Fannie Mae and Freddie Mac. Jumbo loans don't. Each lender sets its own guidelines, so requirements can differ a lot from one lender to the next.
| What lenders look at | What's typical for jumbo |
|---|---|
| Credit score | Some programs start at 660. Higher scores open more options and better pricing. |
| Down payment | Some programs allow as little as about 10% down. Others require 20%. |
| Reserves | Savings left after closing. Some programs have no set requirement for loans under $2,000,000; others require 6 to 18 months of payments. |
| Debt-to-income | Many programs allow up to 50%. |
| Appraisal | Loans over $2,000,000 typically require a second appraisal. |
| Income documents | Usually full tax returns, plus extra review for bonus, stock, or business income. |
These are common ranges, not rules. Your actual requirements depend on the lender and your full financial picture.
Because each lender writes its own jumbo guidelines, one lender may decline a file that another approves. Pricing varies more too. As a mortgage broker, I compare jumbo programs across multiple lenders so you see the options that fit your situation, not just one lender's rulebook.
Executives and professionals: Bonus and stock income can count. Some programs accept vested RSU income once it's been paid out to you. Getting the documentation right early prevents surprises late.
Business owners: If your tax returns don't show your real cash flow, some jumbo programs use bank statements instead.
Retirees and buyers with significant savings: If most of your wealth is in retirement or investment accounts rather than a paycheck, some programs calculate qualifying income from those assets. You don't have to sell investments to show income.
Physicians: Some programs offer lower down payments for medical professionals. They're not always the best fit, so it's worth comparing them against standard jumbo options.
Buying before you sell: Bridge loans and home equity lines can help you buy your next home before the current one sells. Timing both closings is part of the plan.
New construction: Builds can take a year or more. We'll plan when to lock your rate, what extended lock options cost, and when your approval needs to be refreshed. If the builder is offering a rate buydown, it matters which jumbo program you use, because some allow seller-paid buydowns and some don't.
Sometimes the better structure is a conventional first loan at or under the conforming limit, plus a second loan or a larger down payment to cover the rest. Whether that beats a single jumbo loan depends on your rates, your cash, and how long you plan to keep the loan. I'll run both side by side.
Some jumbo programs let you pay only interest for the first 10 years. That lowers the early payment, but you build no equity through payments during that time, and the payment rises when principal payments begin. It can fit buyers with variable income, like bonuses or business income, or buyers who expect to sell or refinance within 10 years. I'll show you the payment both ways, including what happens in year 11.
Send me what you know so far:
I'll follow up within one business day with the options worth comparing.
Request a jumbo loan reviewCall or text 360-910-3290
Are jumbo rates higher than regular loan rates?
Not always. Depending on the market and your profile, jumbo pricing can be similar to, or occasionally better than, conforming loans.
Do I need 20% down for a jumbo loan?
Not always. Some programs allow about 10% down, with tradeoffs in pricing or requirements.
Can I use stock or investment accounts?
Yes. They can count as assets for your down payment and reserves. Some programs also turn investment assets into qualifying income, called asset depletion, and some combine it with your salary when your salary alone doesn't cover the payment.
How long does a jumbo loan take to close?
Similar to other loans in most cases. Files with complex income or two appraisals can take longer, so starting early helps.
Will the conforming limit change?
Yes. The Federal Housing Finance Agency updates it every year, usually announcing the new limit in late November. Some lenders are already using an estimated 2027 limit of $847,440. If your loan is close to the limit, the new number may change which option fits best.
Bill Black | Senior Mortgage Broker | NMLS #49242 | Northwest Funding Group Inc. | NMLS #101770 | Licensed in WA, OR, and AZ | Equal Housing Opportunity
Educational information only, not a commitment to lend. Loan programs, guidelines, and eligibility vary by lender and borrower and are subject to change. Loan limits are set annually by the Federal Housing Finance Agency.