The conforming loan limit explained: where the line is and what crossing it means
What counts toward the limit
The line, briefly
The conforming limit applies to the loan amount, not the purchase price. A home priced above the limit can still have a conforming loan if your down payment brings the loan under the line. That is why a larger down payment is one way to stay conforming.
Last reviewed against the primary sources listed below.
Watch for
- Fees or premiums added to the loan.
- Seller credits that change the amount.
- Second loans that split the borrowing.
Questions about the line
Is the jumbo limit based on home price?
No, it is based on the loan amount.
Can an expensive home have a conforming loan?
Yes, if the loan amount is under the limit.