Using information provided by lenders who finance Jumbo loans, Lending Arsenal’s multi-lender loan pricing search engine for mortgage professionals effectively uses information from top wholesale lenders to help you compare sales quotes with rates and rebates, all tailored to your borrower's loan scenario.

A loan is referred to as Jumbo or Non-Conforming when the borrowed amount of money is larger than what is allowed by conforming, or prime loan standards. The standards are determined by two government-subsidized agencies, Fannie Mae and Freddie Mac. As of 2007, the limits above which the loans are considered to be Jumbo are $417,000 and $625,500, where the higher one is only applicable for Alaska, Hawaii, Guam, and the U.S. Virgin Islands. In order to accommodate high value loans, large investor companies usually extend the maximum mortgage amounts going to the $1 million or $2 million range.

Jumbo loans are a higher risk for lenders, making the average interest rates typically higher than those for conforming mortgages. The rates also vary drastically depending on property types and the amount of borrowed money. The spread, or difference between the Jumbo and A-Paper rates, depends on the current market price of risk. Typically, the spread fluctuates between 0.25% and 0.5%, but it can exceed a full percentage point at times of high investor anxiety.

Overall, Jumbo loans are similar to conventional loans, except that they often require a slightly higher down payment. 100% LTV Jumbo loans are generally not available, but instead require a minimum of 5% down payment. It is recommended that borrowers seek advice from a competent professional familiar with Jumbo loans prior to taking one out, as there are many guidelines that need to be considered when signing up for a Jumbo loan.