VA Jumbo Loan
The New VA Loan Maximum Guaranty Amounts
Updated 2012 VA Jumbo Counties
Qualifying customers can now apply for a regular VA Loan with $0 down for loans greater than $417,000 up to their county limit. Find your county below.
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The Department of Veterans Affairs will guaranty a VA home loan for a fully eligible veteran to a maximum of 25%. So if a veteran has full eligibility at $104,250, simply multiply that by (4) and the maximum loan amount with full VA guaranty is $417,000 with $0 down payment.
The majority of counties in the United States fall under this category. The Department of Veterans Affairs has designated what is known as High Cost Counties (approximately 146) where the VA will guaranty the veteran up to 25% of the high cost county limit. For these high cost county loans, the Veteran's down payment is still $0 up to the higher limit. By definition, any loan greater than $417,000 is categorized as a VA Jumbo Loan.
Calculations for Loans Limits as Set by VA
For counties where the VA maximum limit is $417,000:
- Borrower has no money down on the first $417,000.
- Borrower pays a 25% down payment only on the amount greater than $417,000.
- Borrower pays the funding fee in cash for loan between $417,000 and $1,000,000.
- On loan amounts greater than $417,000, the veteran maintains all the benefits of a VA loan.
For counties where the VA maximum limit exceeds $417,000 (known as VA Jumbo Loans):
- Borrower has no money down on the maximum amount for the county limit as set by the VA.
- Borrower pays a 25% down payment only on the amount greater than the county limit set by the VA.
- Borrower pays the funding fee in cash for loan between the amount greater than the county limit set by the VA and $1,000,000.
- On loan amounts greater than $417,000, the veteran maintains all the benefits of a VA loan.
Additional Information pertaining to VA Jumbo Loans that exceed county limits set by VA:
- Minimum Credit score of 640 required for loans above $650,000.
- Manufactured homes are not eligible for the VA Jumbo program.
- Funding fees cannot be financed for loans greater than $417,000. They must either be paid in cash by the Veteran or by the Seller.
- 2- to 4-unit purchase transactions maximums are $417,000.
- The VA Jumbo Program is for Fixed Rate loans only.
- Other terms and conditions may apply.
VA Loan Articles
Read About News, Updates, and Guidelines
The VA doesn’t go by the debt-to-income ratio alone when it comes to judging the a VA mortgage loan application. In many cases there could be compensating factors that offset the borrower’s higher-than-normal debt-to-income ratio or related issues.
Just like any government home loan program, VA loans have changing rules, requirements, and policies--some rules get altered by legislation, programs are canceled or modified, or otherwise no longer in effect.
One of the most frequently asked questions about having a VA guaranteed mortgage has to do with the ability to sell the property. Is the borrower on a VA mortgage restricted in any way from selling the home? For an outright sale of the property, the answer is no.
When buying a home with a VA loan, the seller can offer concessions that make the sale more attractive to the buyer. Seller concessions often take the form of gifts. A typical gift example would be the seller including an appliance or a television in the sale of the home.
Did you get a pre-approved loan amount before shopping for that dream home? That can be an important first step to smooth the way during a serious house-hunt, and that’s just one bit of advice many wish they had gotten when they first started out.
