The Guidelines for Applying for a Jumbo VA Loan

If you are interested in obtaining a jumbo VA loan there are a few guidelines you must adhere to. It is important to do your research and be prepared when you make your application. Having the necessary documentation, knowing your credit score and having a good down payment will ensure that you qualify for a jumbo VA loan.

What is a Jumbo VA Loan?

A VA loan is for a veteran of the United States Armed Forces. Jumbo refers to the amount of money you are borrowing. Currently, the limit for a conforming loan is $417,000. Anything over this amount means it is a jumbo loan. The VA offers jumbo loans under a program called Super Max. They allow jumbo loans from $417,000 to $1,000,000.

Necessary Documentation

You will need a Certificate of Eligibility. This is a form stating that you are eligible for a VA loan. To obtain one, you will need your discharge or separation papers and must complete the necessary forms to submit to a VA benefits center.

Know Your Credit Score

A VA jumbo loan requires a 680 credit score. It is important to check all three bureaus to know where you stand. If you do not have a 680, then you need to do some work before you apply. Pay down some credit cards, make sure you pay all bills on time and do not open any other new credit, such as a new car loan. In four to six months you should see a rise in your score.

Save for a Down Payment

The VA offers no money down on all conforming loans under $417,000. If you are taking out a jumbo loan, you will need cash down. The VA will require 25% down on all money borrowed over $417,000. For example, if you purchase a $500,000 house, the VA will give you $417,000 with no money down. The remaining $83,000 will require 25 percent down, which would be $20,750.


The VA charges a fee called the FundingFee. This a 2-3 percent fee that is added to money down loans. In traditional loans under $417,000, this fee would be rolled into the loan if the borrower wished. In a Jumbo loan, the fees can not be rolled in because you are exceeding the conforming loan limits. So you must be prepared to pay this fee in cash, along with the down payment at the time of closing.


A VA Jumbo loan cannot be taken out for a manufactured home. You also are not able to purchase or refinance a two to four unit home under the VA jumbo loan programs. Only single residences are allowed. In addition, the loan terms must have a fixed rate. No variable rate, interest only or negative amortization loans are allowed.


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