Jumbo Loans in Alabama and Florida: Limits, Credit and Reserves (2026)
A jumbo loan is a mortgage above the conforming loan limit. In 2026 that limit is $832,750 for a one unit home in Alabama and in every Florida county except Monroe. If your loan amount is higher than that, you need a jumbo loan, and the rules are stricter.
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Jumbo loan benefits at a glance
| Feature | What it means for you |
|---|---|
| Loan size | Covers amounts above the 2026 conforming limit of $832,750 for a one unit home. |
| Credit score | We look for a score of 680 or higher. |
| Down payment | Usually more than a conforming loan. The amount depends on the loan size and your file. |
| Reserves | Cash left after closing. Lenders commonly ask for 6 to 12 months of payments, and more on larger loans. |
| Debt to income | Lenders often look for a ratio under 43 percent, with lower being stronger. |
| Property types | Primary homes, second homes and investment homes, with stricter terms on the last two. |
What counts as a jumbo loan in Alabama and Florida
The Federal Housing Finance Agency sets the conforming loan limit each year. For 2026 the one unit limit is $832,750. Fannie Mae and Freddie Mac cannot buy loans above the limit, so lenders price and underwrite those loans on their own. That is the reason jumbo loans carry extra requirements.
The limit applies to the loan amount. The price of the home does not set it. Take a $950,000 home. With $150,000 down, the loan is $800,000 and fits under the limit. With $100,000 down, the loan is $850,000 and becomes a jumbo loan. This is an illustration and not a quote.
2026 limits by state
| Area | One unit | Two units | Three units | Four units |
|---|---|---|---|---|
| Alabama, all counties | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Florida, all counties except Monroe | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Monroe County, Florida (the Keys) | $990,150 | $1,267,600 | $1,532,200 | $1,904,150 |
Alabama has no high cost counties. In Florida only Monroe County has a higher limit. A loan above the number for your county is a jumbo loan.
Jumbo loan requirements
Credit
We look for a credit score of 680 or higher on a jumbo loan. A higher score usually earns a better rate. Ask us where your file stands before you decide.
Down payment
Jumbo lenders generally want more money down than a conforming lender does. The amount depends on the loan size, the property and the rest of your file. Tell us the price range and we run the numbers with you.
Reserves
Reserves are liquid funds you still hold after the down payment and closing costs. Lenders commonly ask for 6 to 12 months of the full housing payment, and the requirement tends to rise as the loan amount rises. Retirement accounts and investments may count at a percentage of their value, so list every account when you apply.
Debt to income
Lenders often look for a total debt to income ratio under 43 percent, counting the new payment. A lower ratio makes the file stronger.
Appraisal
The home has to appraise at or above the price. Some jumbo loans need a second appraisal, and we tell you at the start if yours does.
What a jumbo payment looks like
Principal and interest rise in a straight line with the loan amount. At a fixed rate, an $850,000 loan has a payment 70 percent larger than a $500,000 loan, because 850 divided by 500 is 1.7. Taxes, insurance and any mortgage insurance come on top.
Try your price in the free mortgage payment calculator. It stops at conventional, FHA and VA loan types, so use it as a guide and ask us for your jumbo figure.
Jumbo loan or a different loan
| Situation | Loan to compare |
|---|---|
| Loan amount at or under $832,750 | Conventional loans have simpler rules |
| Physician buying a higher priced home | Doctor loans can ease down payment and debt rules |
| Self employed buyer with strong deposits | Bank statement loans verify income a different way |
| Owner pulling cash from a high value home | Cash out refinance or a HELOC |
Sometimes a larger down payment pulls the loan under the limit and a conforming loan costs less. We price both side by side. See how a 5 percent down payment compares to 20 percent, and how cost stacking and lender credits change the cash you bring to closing.
How to get started
First, decide on a price range and how much you can put down. Second, gather two years of income documents and statements for every account. Third, we review the file and send you a written estimate. A Fast Pass pre-approval shows listing agents that your jumbo financing is ready. To plan the cash to close, use the closing cost calculator.
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Jumbo loan FAQ
What is the jumbo loan limit in 2026?
The one unit conforming loan limit is $832,750 in Alabama and in every Florida county except Monroe, where it is $990,150. A loan above the limit for your county is a jumbo loan.
What credit score do I need for a jumbo loan?
We look for 680 or higher. A higher score usually earns a better rate.
How much do I need to put down on a jumbo loan?
Jumbo lenders generally ask for more than conforming lenders. The amount depends on the loan size, the property and your file, so we confirm it after we review your numbers.
What are cash reserves and how many months do I need?
Reserves are liquid funds you hold after closing. Lenders commonly ask for 6 to 12 months of the housing payment, and the requirement tends to rise with the loan amount.
Is the interest rate on a jumbo loan higher?
It depends on the market, your score, your down payment and your reserves. Rates on jumbo loans can sit close to conforming rates, so we quote both when your loan is near the limit.
Can I use a jumbo loan for a second home or investment property?
Often yes, with stricter terms on down payment and reserves than for a primary home. Tell us how you plan to use the property and we outline the options.
Does Mountain Mortgage offer jumbo loans in Alabama and Florida?
Mountain Mortgage lends in Alabama and Florida. Start the application above and we will confirm the jumbo terms that fit your file.
Figures on this page are illustrative and based on Federal Housing Finance Agency 2026 conforming loan limits as reported by HousingWire and Rocket Mortgage guidance updated in 2026. They are not a rate quote or an offer of credit. Program rules, limits and requirements change. Mountain Mortgage NMLS #2720886 | Paul Leara NMLS #2233772. Equal Housing Lender.