Buying in Weston’s $800,000 to $1.7 million range often means hearing the word “jumbo” early in your mortgage conversations. That can feel like one more hurdle when you are focused on choosing the right home and timing your move. The good news is that jumbo loans are straightforward once you know where the limits sit and what lenders expect. In this guide, you will learn when a loan becomes jumbo in Broward County, how down payment and reserves come into play, what rate and product choices you have, and the smart steps to take before you write an offer. Let’s dive in.
When is a loan jumbo in Weston?
A jumbo mortgage is any loan amount that is too large to be purchased or guaranteed by Fannie Mae or Freddie Mac. These are called conforming loans. The line between conforming and jumbo is set each year by the Federal Housing Finance Agency.
For 2024, the FHFA set the baseline single family conforming loan limit at $766,550 for most U.S. counties. Broward County, which includes Weston, is treated as a non high cost area, so the baseline applies here. You can see the official announcement in the FHFA’s release on 2024 conforming loan limits. FHFA announced 2024 conforming loan limit values.
What this means for you:
- Any first mortgage in Weston above $766,550 is typically a jumbo loan.
- Lenders can sometimes structure a smaller first mortgage with a second mortgage to keep the first at or below the conforming limit.
Quick examples in Weston’s common price bands:
- $800,000 purchase
- 5 percent down is a loan of about $760,000. That can fit under the conforming limit.
- 3 percent down is a loan of about $776,000. That is jumbo.
- $1,700,000 purchase
- To keep the loan at or below $766,550, you would need roughly 55 percent down. Most buyers use jumbo financing at this price point.
If you want a deeper definition of jumbo and conforming, the CFPB’s consumer guide is a helpful plain language reference. See the CFPB’s explainer on what a jumbo loan is. CFPB explains jumbo mortgages. You can also review how conforming limits work on Fannie Mae’s loan limits page. Fannie Mae loan limits overview.
What lenders will ask for
Jumbo underwriting is usually more detailed than conforming. Expect stronger credit, tighter debt ratios, more documentation, and higher reserve requirements.
- Credit score
- Minimums often fall in the 700 to 760+ range. Best pricing is usually at 740 to 760 and above.
- Debt to income ratio
- Many lenders cap DTI around 43 to 50 percent, depending on your credit, assets, and reserves.
- Income documentation
- W‑2 employees: two years of W‑2s, recent pay stubs, and employer verification.
- Self employed: two years of personal and business tax returns, year to date profit and loss, and possibly 12 to 24 months of business bank statements.
- Alternative documentation programs exist for unique income profiles. These often require more reserves and carry higher rates.
- Assets and reserves
- Plan for 6 to 12 months of reserves measured as PITIA. Larger loans or second homes often need more. Retirement and brokerage accounts can count with proper documentation.
- Down payment and loan to value
- Many primary residence jumbos allow 80 to 90 percent LTV for well qualified buyers. Pricing improves at or below 80 percent LTV. With lower credit or limited documentation, lenders may ask for 20 to 30 percent down or more.
- Appraisal and valuation
- Expect a full interior appraisal. For high value or unique properties, a second appraisal or a third party review may be required. Fees and timelines can be higher than standard loans.
For shopping your loan, the CFPB offers practical tips on comparing lenders and understanding tradeoffs. It is worth a read before you lock your financing. CFPB mortgage shopping resources.
How much down, and what it affects
Your down payment does more than set the loan amount. It also influences your rate options, pricing tiers, and reserve requirements.
- At 80 percent LTV or lower, many lenders offer better jumbo pricing and simpler underwriting.
- At 85 to 90 percent LTV, options exist for strong profiles, but expect tighter DTI, higher reserves, and more rate sensitivity.
- If you want to avoid a jumbo, you can increase your down payment or use a piggyback structure that combines a conforming first mortgage with a second mortgage or HELOC. This can reduce the first mortgage rate but adds a second loan with its own costs and terms.
The right structure depends on your cash, timeline, and comfort with payment changes over time. A skilled loan officer can model each path so you can compare.
Rate basics and product choices
Jumbo pricing moves with broader bond markets and investor appetite. In some markets, jumbo rates are higher than conforming. In other periods, they are similar or even slightly better. Your profile and loan structure play a major role.
Common product types in Weston:
- Conventional fixed rate jumbos
- 15 and 30 year terms are typical and fit buyers who plan to hold the home long term.
- Adjustable rate mortgages
- 5/6 and 7/6 ARMs often start with a lower initial rate, which can help transferees or buyers who expect to sell or refinance within that fixed period. Be mindful of future rate risk.
- Portfolio and bank held loans
- Community banks and credit unions sometimes offer custom terms, interest only periods, or more flexible documentation. Pricing varies.
- Non QM and bank statement programs
- Useful for self employed buyers or those with complex income. These usually come with higher rates and larger reserve needs.
- VA eligible buyers
- VA does not apply conforming limits the same way other programs do. VA eligible borrowers can obtain loans above conforming limits depending on entitlement and lender overlays. Confirm details with a VA experienced lender.
Key factors that affect your jumbo rate:
- Credit score, LTV, and loan amount tier
- Purchase vs refinance and primary vs second home
- Documentation type and asset strength
Small differences in rate matter on large loans. A quarter point can shift your monthly payment more than you expect, so strong documentation and lower LTV are the clearest ways to improve pricing.
Weston specific considerations
Buying higher value homes in Weston comes with a few local items to plan for early.
- Appraisal comparables
- Larger or custom homes may have fewer recent comparable sales. Build in time for appraisal, and be ready to support value with market data. A review appraisal is sometimes requested on jumbo files.
- Insurance and wind coverage
- Hazard, windstorm, and possibly flood insurance are material line items in South Florida. Lenders require proof of coverage before closing. Higher premiums can impact cash to close and reserve calculations.
- HOA and assessments
- Many Weston communities have homeowner associations. Factor dues and any special assessments into your monthly debt ratio.
- Timing and underwriting
- Jumbo files often take longer. Start prequalification early, and allow extra time for appraisal scheduling.
For property records, legal descriptions, and parcel level details, the Broward County Property Appraiser is a helpful reference. Broward County Property Appraiser.
Simple scenarios to make this real
- Move up buyer at $950,000
- With 20 percent down, your loan is about $760,000. That can be conforming, which broadens lender options. With 10 percent down, your loan is about $855,000, which is jumbo. Your credit, reserves, and DTI will drive pricing.
- Relocating transferee at $1.25M
- If you plan to be here 3 to 5 years, an ARM or a competitive bank portfolio jumbo might fit. Employer relocation benefits can often be used toward closing, with documentation of timing and terms.
- Edge case at $800,000
- A small change in down payment can flip you from jumbo to conforming. Ask your lender to model 3 to 10 percent down so you can compare both paths.
Smart next steps for Weston buyers
Here is a streamlined plan to set up your financing before you shop homes.
- Get prequalified for a jumbo early
- Ask lenders to underwrite your income, assets, and reserves up front. This can remove surprises later in the process.
- Gather documents now
- Two years of tax returns, W‑2s or 1099s, recent pay stubs, bank and investment statements, and any business financials if you are self employed.
- Shop lenders and programs
- Compare at least two to three quotes across a mix of lenders. Include a community bank or credit union that regularly places jumbo loans in Broward County.
- Request insurance quotes early
- Build accurate estimates for hazard and wind coverage into your prequalification so your DTI math is realistic.
- Confirm reserves and liquidity
- Review which accounts count, what seasoning is needed, and whether retirement assets can be used to meet reserve requirements.
- Align your loan choice with your timeline
- If you expect to move or refinance in a few years, compare fixed and ARM options side by side.
Smart questions to ask your lender
- Do you offer in house jumbo products or will you sell my loan to an investor?
- What credit scores, DTI, and reserves do you require for my target loan amount on a primary residence in Broward County?
- What documentation packages do you accept for self employed income, and what reserve levels apply?
- Can I use retirement assets for down payment or reserves, and what documentation is required?
- What is your typical underwriting timeline for a jumbo purchase and clear to close in our market?
- Do you require a second appraisal or appraisal review for homes in my price range?
- How do rates and terms differ between fixed and ARM jumbo options for my profile?
A trusted local partner
Choosing, structuring, and locking the right jumbo loan takes local context and a steady hand. You deserve clear steps, accurate timelines, and a plan that fits your move. If you are comparing $800,000 to $1.7 million homes in Weston, we can help you align your financing with your search, coordinate insurance and HOA details, and time your offer with confidence. Reach out to Phyllis M Scarberry, P A to talk through your goals and get a focused plan for your next move.
FAQs
What is a jumbo loan in Broward County?
- Any first mortgage above the FHFA conforming limit for the year counts as jumbo. For 2024 in Broward County, that limit is $766,550 for a one unit home.
When does an $800,000 home need a jumbo?
- At 5 percent down the loan is about $760,000, which can be conforming. At 3 percent down the loan is about $776,000, which is jumbo.
How much down payment do I need for a jumbo in Weston?
- Many lenders allow 10 to 20 percent down for strong profiles. Pricing often improves at 20 percent down, and reserves of 6 to 12 months are common.
Are jumbo mortgage rates much higher than conforming?
- It depends on market conditions and your profile. At times they are higher, at times similar. Credit score, LTV, loan size, and documentation level drive your rate.
What if I am self employed and need a jumbo?
- Expect two years of personal and business returns, a year to date P&L, and possibly bank statements. Some non QM programs offer alternatives with tradeoffs.
How long does jumbo underwriting take in Weston?
- Jumbo files often take longer than conforming due to documentation and appraisal reviews. Start prequalification early and allow extra appraisal time.
Are there alternatives to a jumbo loan?
- You can bring a larger down payment or use a piggyback second to keep the first mortgage at or below the conforming limit. Each option has pros and cons.
Where can I verify conforming loan limits?
- Check the FHFA’s official announcement for the current year’s limits and use Fannie Mae’s loan limits page for background on how limits apply.
