How Jumbo Loans Can Benefit You

For people within a higher income range, the mortgage game can be a bit different than normal. People looking for a nicer home will naturally need a correspondingly larger mortgage loan, and there are certain limits on most conventional loans which might make this more difficult to attain.

This is where an option called a jumbo loan comes into play. As the name suggests, a jumbo loan offers an ability for a qualified borrower to receive a much larger sum than is typically allowed. There are a few other details which make jumbo loans different from normal ones as well. Let’s find out about jumbo loans, and how ours at American Loans & Mortgages can benefit you.

Jumbo Loan Basics

Depending on which state or area of the country you live in, you will fall under various different loan restrictions called the “conforming loan limit.” This is generally the highest amount a borrower can receive on a single mortgage, and it’s usually between $400,000 and $650,000 in most places.

Allowing borrowers to well exceed these amounts does come with a few trade-offs. Firstly, mortgage rates are usually higher due to larger risk being assumed by the lender, and you’ll often need a higher credit score and lower outstanding debt than traditional loans. At American Loans & Mortgages, we typically require a 720 credit score or better for a jumbo loan.

Available Amounts

If you qualify, though, the key benefit to a jumbo loan is how much more you can get. Our jumbo programs range all the way up to $2,000,000 for qualified borrowers, and up to 80 percent of home value. Instead of being forced to secure multiple conventional loans, you can get all the funds you need in one shot.


There are several other benefits to jumbo loans as well. We offer a lot of flexibility in income qualifications, and many of our jumbo loans come with no private mortgage insurance attached. Fixed rates will often begin as low as 4 percent, and there are no county restrictions in our programs.

American Loans & Mortgages is your top mortgage company in Utah. To learn more about our jumbo loans or any of our other programs, speak to one of our brokers today.