These loans adhere to guidelines issued by Freddie Mac & Fannie Mae. The maximum loan limit, which is $726,200 for 2023, is for a single-family home in the United States.

Jumbo loans are known as non-conforming loans, because they do not follow the guidelines issued by Freddie Mac & Fannie Mae. They exceed the maximum loan limits. These loans are riskier to lenders, which means borrowers need to meet more stringent qualification factors. If the home is in an area that is deemed a high-cost county by the Federal Housing Finance Agency (FHFA), it could make the loan a high-cost loan instead of a jumbo loan. High-cost loans are considered a conventional, conforming loan.

Unlike a fixed rate mortgage, adjustable rate mortgages (ARMs) have an interest rate that will change during the term of the loan. ARMs typically begin with an introductory period where the interest rate is fixed. The year when the price increase will happen can vary. For example, a 5/1 loan will have a fixed rate for 5 years before adjusting every 1 year after that. ARMs do typically have a lifetime cap, which means there is a maximum amount that it can increase over the life of the loan.

There are loan programs that require only 3% down. Fannie Mae's HomeReady loan and Freddie Mac's Home Possible and HomeOne loans are conventional 97% borrowed loans. Each of these have different requirements, but all offer 3% down payment loan options

Home Equity Conversion Mortgage (HECM) for purchase can be used by people who are over the age of 62. You are able to use loan proceeds from the reverse mortgage to put toward a new home. This type of purchase can help preserve retirement money. There are no required monthly payments, except taxes and home insurance. These can be a good option for people who are ready to change the size of their home.