Picture Mark and Lisa, a couple ready to upgrade to their forever home in Texas. Their dream property costs $850,000—well above the conforming loan limit of $726,200. They quickly learned that qualifying for a jumbo loan in Texas wasn’t as simple as a traditional mortgage. So, what exactly do you need to qualify for a jumbo loan? Let’s break down the essential jumbo loan requirements in Texas so you can prepare with confidence.
🏦 Understanding Jumbo Loan Requirements in Texas
A jumbo loan is designed for loan amounts exceeding the conforming limit set by the FHFA—currently $726,200 for a single-family home in Texas. Because jumbo loans carry more risk for lenders, the requirements are stricter compared to conventional loans.
✅ Credit Score Expectations
One of the first hurdles is your credit score. Most lenders, including those at Green Arrow Mortgage, look for a credit score of 700 or higher. This demonstrates financial responsibility and lowers your risk as a borrower.
💵 Debt-to-Income Ratio (DTI)
Lenders want to see that your income comfortably covers your debts and the new mortgage. For jumbo loans, the debt-to-income ratio usually needs to be under 43%, though some lenders may allow slightly higher depending on other factors.
💰 Cash Reserves
Since jumbo loans aren’t backed by government agencies, lenders require proof of cash reserves. This means having enough savings to cover 6 to 12 months of mortgage payments, giving them assurance you can weather financial challenges.
📑 Income and Employment Verification
Stable income and employment are critical. You’ll need to provide recent pay stubs, tax returns, and possibly additional documentation showing steady earnings—especially if you’re self-employed or have variable income.
🏠 Property Appraisal and Value
An independent appraisal is mandatory to verify that your property’s value supports the loan amount. Because jumbo loans are high-value, this step is extra important to reduce risk for both you and the lender.
🌟 How Green Arrow Mortgage Simplifies the Jumbo Loan Process
Mark and Lisa worried the requirements would be overwhelming, but with Green Arrow Mortgage’s experienced loan officers, the process was straightforward. From quick pre-qualification to application submission, our team guided them every step of the way.
Our online platform makes it easy to get started and track your application, and we’re always available for questions via WhatsApp or Instagram.
📞 Ready to See If You Qualify for a Jumbo Loan?
If you’re looking at homes above $726,200 in Texas, understanding jumbo loan requirements is the first step toward homeownership success.
Contact us today for a quick, no-pressure consultation:
📲 Call or text: +1 832-821-4441
💬 Chat on WhatsApp: greenarrowmortgage.com
📷 DM us on Instagram: @green.arrowmortgage
🔑 Take the First Step Toward Your Dream Home
Knowing what lenders expect can make all the difference. Let Green Arrow Mortgage help you prepare, qualify, and secure your jumbo loan—so you can focus on what really matters: moving in.
