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San Francisco's high home prices push most buyers into jumbo territory. The 2026 conforming limit sits at $832,750 for single-family homes in most counties, but SF properties routinely exceed $1.5 million.
Jumbo loans finance the gap between conforming limits and actual sale prices. In SF, that gap is substantial and affects everything from condos in the Richmond to homes in Pacific Heights.
These loans carry stricter approval standards than conforming products. Lenders scrutinize income, assets, and credit more carefully when loan amounts climb above government-backed thresholds.
Jumbo Loans in San Francisco
Expect minimum credit scores around 700, though competitive rates start at 740. Lenders want to see reserves covering 12-24 months of payments, sometimes more for properties above $2 million.
Debt-to-income ratios max out around 43% for most jumbo lenders. Some portfolio lenders stretch to 45% if compensating factors like substantial assets or low loan-to-value exist.
Down payments typically start at 10-20% depending on loan size. Properties above $2 million often require 20-30% down to get favorable pricing from wholesale lenders.
Local decision guide
Use this guide to connect jumbo loans eligibility, lender expectations, and local market factors before comparing payment options in San Francisco.
San Francisco's high home prices push most buyers into jumbo territory. The 2026 conforming limit sits at $832,750 for single-family homes in most counties, but SF properties routinely exceed $1.5 million.
Jumbo loans finance the gap between conforming limits and actual sale prices. In SF, that gap is substantial and affects everything from condos in the Richmond to homes in Pacific Heights.
These loans carry stricter approval standards than conforming products. Lenders scrutinize income, assets, and credit more carefully when loan amounts climb above government-backed thresholds.
Portfolio lenders and correspondent banks dominate SF jumbo lending. These lenders hold loans on their books or sell to private investors, not Fannie or Freddie.
Rate spreads between lenders can hit 50-75 basis points on the same scenario. Shopping across 10-15 wholesale sources often saves $200-400 monthly on a $2 million loan.
Relationship banks sometimes offer competitive jumbo rates to wealthy clients. But they rarely beat specialty jumbo lenders who aggregate volume across wholesale channels.
Jumbo borrowers with complex income benefit most from broker access. W-2 earners can sometimes get decent rates from big banks, but equity comp or business income needs lender matching.
Appraisal gaps kill jumbo deals more than credit issues. SF's tight inventory means comparable sales lag current pricing, leaving buyers short when appraisals come in low.
Lock timing matters more on jumbos than conforming loans. Rate volatility hits larger loan amounts harder, and extending a lock on a $3 million loan costs real money.
Conforming loans cap at $832,750 in most California counties. SF buyers exceed that threshold on condos, let alone single-family homes, making jumbos the only conventional option.
Interest-only jumbos exist but narrow your lender pool. Most portfolio lenders offer IO periods up to 10 years, useful for cash flow management when monthly income fluctuates.
ARMs make sense for jumbo borrowers planning short holding periods. A 7/1 ARM typically prices 25-50 bps below 30-year fixed, meaningful savings on a $2.5 million loan.
HOA dues and property taxes hit harder on jumbo DTI calculations. A $1,500 monthly HOA plus $2,000 in property taxes adds $3,500 to your housing payment before principal and interest.
Foreign national buyers face tighter jumbo lending. Most portfolio lenders require 30-40% down and charge rate premiums, though exceptions exist for established visa holders with US credit.
Earthquake insurance rarely gets required by lenders but affects affordability. Budget $2,000-5,000 annually depending on construction type and location within SF.
Most lenders require 700 minimum, but rates improve significantly at 740 and above. Scores below 700 limit your options to a handful of portfolio lenders with premium pricing.
Most wholesale lenders cap at $4-5 million for primary residences. Loans above that threshold require private banks or hard money sources with different underwriting.
Rates vary by borrower profile and market conditions. Jumbo rates often run 25-50 bps above conforming, though strong credit and low LTV can narrow or eliminate that spread.
Yes, though expect rate premiums and stricter reserve requirements. Most lenders want to see 12-18 months reserves on top of your down payment at 90% LTV.
Expect 30-45 days with clean documentation. Complex income or multiple properties can push timelines to 60 days if additional underwriting reviews are needed.
Liquid assets like checking, savings, and taxable investment accounts count fully. Retirement accounts typically count at 60-70% of vested balances depending on lender.