For homes in Los Angeles County, the conforming loan limit is $1,149,825 in 2024. Nearby Orange County is the same amount but in San Bernardino and Kern counties, the limit is $766,550. The Ventura County conforming loan limit in 2024 is $954,500. This means any loan above these amounts is considered a jumbo loan.
2025 FHA County Loan Limits in California
The FHA's 2025 current floor is $524,225 and the ceiling is $1,209,750. FHA High Balance Jumbo loan limit – California FHA loan amounts in high-cost counties between $524,225 and $1,209,750 are referred to FHA jumbo loans or FHA high balance loans.
While it's possible to find jumbo loan lenders that will accept a 10% down payment, most will require you to put down at least 20%. That's a lot more than you'll need for a conforming loan, which usually only requires a down payment between 3% to 5% of the home's purchase price.
Typically, jumbo loan rates are higher than conventional loan rates. Since jumbo loans carry higher loan amounts and pose higher risks to lenders, they often come with higher interest rates. Additionally, jumbo loans may require larger down payments and stricter qualification criteria compared to conventional loans.
A jumbo loan will typically have a higher interest rate, stricter underwriting rules and require a larger down payment than a standard mortgage.
A loan is considered jumbo if it exceeds the maximum loan limits for Fannie Mae and Freddie Mac conforming loans—currently $766,550 for single-family homes in most parts of the U.S. but up to $1,149,825 in certain more expensive areas.
A jumbo loan is a non-conforming loan for loan amounts greater than $806,500 for a single-family home. In certain high cost areas, including Alaska and Hawaii, the conforming limit is up to $1,209,750.
Effective January 1, 2024, a covered transaction is not a qualified mortgage if, pursuant to § 1026.43(e)(3), the transaction's total points and fees exceed 3 percent of the total loan amount for a loan amount greater than or equal to $130,461; $3,914 for a loan amount greater than or equal to $78,277 but less than ...
The current 2024 jumbo loan limit in California is $766,550 for single-family homes in most counties. However, in certain high-cost areas, the limit can rise to as much as $1,149,825. These loan limits are determined annually by the Federal Housing Finance Agency (FHFA), based on changes in average U.S. home prices.
You can potentially avoid a jumbo loan by saving for a larger down payment. By saving more, you reduce the amount you need to borrow. You can also avoid applying for a jumbo loan by looking at less expensive properties you can finance with a conforming loan.
Mortgage rates fluctuated significantly in 2023, with the average 30-year fixed rate going as low as 6.09% and as high as 7.79%, according to Freddie Mac. That range narrowed in 2024, with a spread of 6.08% to 7.22%.
Below is a list of the new FHA loan limits effective for FHA case numbers assigned on or after January 1, 2025. Limits will vary by county, based on the median home price for the area. For a one-unit property, the loan limit is $524,225 in low-cost areas, while the loan limit increases to $1,209,750 in high-cost areas.
For 2024, the upper limit is $766,550 to $1,149,825, depending on location. Jumbo loans are mortgages that exceed these limits in their respective counties.
Fannie Mae and Freddie Mac have a rigorous underwriting process that borrowers must go through in order to qualify for a loan. This process can take several weeks, and during this time, the lender will review your financial situation and the property you're buying in order to make sure it meets their guidelines.
A maximum loan amount describes the total sum that one is authorized to borrow on a line of credit, credit card, personal loan, or mortgage. In determining an applicant's maximum loan amount, lenders consider debt-to-income ratio, credit score, credit history, and financial profile.
Jumbo loans are often ideal for individuals with substantial annual incomes who are looking to invest in high-value homes. For example, doctors, business executives, tech professionals, and other high earners can leverage jumbo loans to purchase homes that exceed the limits of conventional loans.
Home loans above the conforming loan limit are called jumbo mortgages. A jumbo mortgage can have a fixed rate or an adjustable rate. A 30-year jumbo mortgage will have a loan term of 30 years. Other jumbo loan options are also available.
Although a 700 credit score will typically get you a jumbo loan approval, lenders often offer the best jumbo mortgage rates to borrowers with higher credit scores. Make a bigger down payment. Unlike conventional loans, you'll need at least a 10% to 20% down payment to qualify for a jumbo loan.
Reduce your loan term
Making the equivalent of two extra mortgage payments per year, for example, will knock off 9 years and 4 months from the total term of your loan. A shorter mortgage term also means that you'll own your house outright sooner.