Handling the housing market in Texas can be challenging, especially with rising home prices and shifting loan limits. For 2025, the conforming loan limit in Texas has increased to $806,500, reflecting the state’s growing property values. This change ensures more flexibility for homebuyers, but for those eyeing higher-priced homes, jumbo loans remain a key option.
As Texas mortgage lenders adapt to these new limits, it’s essential to understand how jumbo loans work. These non-conforming loans offer financing beyond the standard limits, making them ideal for buyers in high-value markets. With Texas ranking third nationally in mortgage origination activity, securing a jumbo loan places buyers among a competitive group.
Whether you’re purchasing in Austin or elsewhere in Texas, higher loan limits and jumbo options provide opportunities to finance your dream home. Let’s explore what these changes mean and how they could impact your home-buying journey.
2025 Texas Conforming and FHA Loan Limits by County
Loan limits for Texas counties in 2025 reflect rising home prices, increasing financing opportunities for buyers. The conforming loan limit applies to conventional mortgages purchased by Fannie Mae and Freddie Mac, set at $806,500 for single-family properties statewide. FHA loan limits, determined by the U.S. Department of Housing and Urban Development (HUD), vary by county, ranging from $524,225 to $571,550.
| County | FHFA limit | FHA limit |
|---|---|---|
| Anderson | $806,500 | $524,225 |
| Andrews | $806,500 | $524,225 |
| Angelina | $806,500 | $524,225 |
| Aransas | $806,500 | $524,225 |
| Archer | $806,500 | $524,225 |
| Armstrong | $806,500 | $524,225 |
| Atascosa | $806,500 | $557,750 |
| Austin | $806,500 | $524,225 |
| Bailey | $806,500 | $524,225 |
| Bandera | $806,500 | $557,750 |
| Bastrop | $806,500 | $571,550 |
| Baylor | $806,500 | $524,225 |
| Bee | $806,500 | $524,225 |
| Bell | $806,500 | $524,225 |
| Bexar | $806,500 | $557,750 |
| Blanco | $806,500 | $524,225 |
| Borden | $806,500 | $524,225 |
| Bosque | $806,500 | $524,225 |
| Bowie | $806,500 | $524,225 |
| Brazoria | $806,500 | $524,225 |
| Brazos | $806,500 | $524,225 |
| Brewster | $806,500 | $524,225 |
| Briscoe | $806,500 | $524,225 |
| Brooks | $806,500 | $524,225 |
| Brown | $806,500 | $524,225 |
| Burleson | $806,500 | $524,225 |
| Burnet | $806,500 | $524,225 |
| Caldwell | $806,500 | $571,550 |
| Calhoun | $806,500 | $524,225 |
| Callahan | $806,500 | $524,225 |
| Cameron | $806,500 | $524,225 |
| Camp | $806,500 | $524,225 |
| Carson | $806,500 | $524,225 |
| Cass | $806,500 | $524,225 |
| Castro | $806,500 | $524,225 |
| Chambers | $806,500 | $524,225 |
| Cherokee | $806,500 | $524,225 |
| Childress | $806,500 | $524,225 |
| Clay | $806,500 | $524,225 |
| Cochran | $806,500 | $524,225 |
| Coke | $806,500 | $524,225 |
| Coleman | $806,500 | $524,225 |
| Collin | $806,500 | $563,500 |
| Collingsworth | $806,500 | $524,225 |
| Colorado | $806,500 | $524,225 |
| Comal | $806,500 | $557,750 |
| Comanche | $806,500 | $524,225 |
| Concho | $806,500 | $524,225 |
| Cooke | $806,500 | $524,225 |
| Coryell | $806,500 | $524,225 |
| Cottle | $806,500 | $524,225 |
| Crane | $806,500 | $524,225 |
| Crockett | $806,500 | $524,225 |
| Crosby | $806,500 | $524,225 |
| Culberson | $806,500 | $524,225 |
| Dallam | $806,500 | $524,225 |
| Dallas | $806,500 | $563,500 |
| Dawson | $806,500 | $524,225 |
| Deaf Smith | $806,500 | $524,225 |
| Delta | $806,500 | $524,225 |
| Denton | $806,500 | $563,500 |
| Dewitt | $806,500 | $524,225 |
| Dickens | $806,500 | $524,225 |
| Dimmit | $806,500 | $524,225 |
| Donley | $806,500 | $524,225 |
| Duval | $806,500 | $524,225 |
| Eastland | $806,500 | $524,225 |
| Ector | $806,500 | $524,225 |
| Edwards | $806,500 | $524,225 |
| Ellis | $806,500 | $563,500 |
| El Paso | $806,500 | $524,225 |
| Erath | $806,500 | $524,225 |
| Falls | $806,500 | $524,225 |
| Fannin | $806,500 | $524,225 |
| Fayette | $806,500 | $524,225 |
| Fisher | $806,500 | $524,225 |
| Floyd | $806,500 | $524,225 |
| Foard | $806,500 | $524,225 |
| Fort Bend | $806,500 | $524,225 |
| Franklin | $806,500 | $524,225 |
| Freestone | $806,500 | $524,225 |
| Frio | $806,500 | $524,225 |
| Gaines | $806,500 | $524,225 |
| Galveston | $806,500 | $524,225 |
| Garza | $806,500 | $524,225 |
| Gillespie | $806,500 | $524,225 |
| Glasscock | $806,500 | $524,225 |
| Goliad | $806,500 | $524,225 |
| Gonzales | $806,500 | $524,225 |
| Gray | $806,500 | $524,225 |
| Grayson | $806,500 | $524,225 |
| Gregg | $806,500 | $524,225 |
| Grimes | $806,500 | $524,225 |
| Guadalupe | $806,500 | $557,750 |
| Hale | $806,500 | $524,225 |
| Hall | $806,500 | $524,225 |
| Hamilton | $806,500 | $524,225 |
| Hansford | $806,500 | $524,225 |
| Hardeman | $806,500 | $524,225 |
| Hardin | $806,500 | $524,225 |
| Harris | $806,500 | $524,225 |
| Harrison | $806,500 | $524,225 |
| Hartley | $806,500 | $524,225 |
| Haskell | $806,500 | $524,225 |
| Hays | $806,500 | $571,550 |
| Hemphill | $806,500 | $524,225 |
| Henderson | $806,500 | $524,225 |
| Hidalgo | $806,500 | $524,225 |
| Hill | $806,500 | $524,225 |
| Hockley | $806,500 | $524,225 |
| Hood | $806,500 | $524,225 |
| Hopkins | $806,500 | $524,225 |
| Houston | $806,500 | $524,225 |
| Howard | $806,500 | $524,225 |
| Hudspeth | $806,500 | $524,225 |
| Hunt | $806,500 | $563,500 |
| Hutchinson | $806,500 | $524,225 |
| Irion | $806,500 | $524,225 |
| Jack | $806,500 | $524,225 |
| Jackson | $806,500 | $524,225 |
| Jasper | $806,500 | $524,225 |
| Jeff Davis | $806,500 | $524,225 |
| Jefferson | $806,500 | $524,225 |
| Jim Hogg | $806,500 | $524,225 |
| Jim Wells | $806,500 | $524,225 |
| Johnson | $806,500 | $563,500 |
| Jones | $806,500 | $524,225 |
| Karnes | $806,500 | $524,225 |
| Kaufman | $806,500 | $563,500 |
| Kendall | $806,500 | $557,750 |
| Kenedy | $806,500 | $524,225 |
| Kent | $806,500 | $524,225 |
| Kerr | $806,500 | $524,225 |
| Kimble | $806,500 | $524,225 |
| King | $806,500 | $524,225 |
| Kinney | $806,500 | $524,225 |
| Kleberg | $806,500 | $524,225 |
| Knox | $806,500 | $524,225 |
| Lamar | $806,500 | $524,225 |
| Lamb | $806,500 | $524,225 |
| Lampasas | $806,500 | $524,225 |
| La Salle | $806,500 | $524,225 |
| Lavaca | $806,500 | $524,225 |
| Lee | $806,500 | $524,225 |
| Leon | $806,500 | $524,225 |
| Liberty | $806,500 | $524,225 |
| Limestone | $806,500 | $524,225 |
| Lipscomb | $806,500 | $524,225 |
| Live Oak | $806,500 | $524,225 |
| Llano | $806,500 | $524,225 |
| Loving | $806,500 | $524,225 |
| Lubbock | $806,500 | $524,225 |
| Lynn | $806,500 | $524,225 |
| McCulloch | $806,500 | $524,225 |
| McLennan | $806,500 | $524,225 |
| McMullen | $806,500 | $524,225 |
| Madison | $806,500 | $524,225 |
| Marion | $806,500 | $524,225 |
| Martin | $806,500 | $524,225 |
| Mason | $806,500 | $524,225 |
| Matagorda | $806,500 | $524,225 |
| Maverick | $806,500 | $524,225 |
| Medina | $806,500 | $557,750 |
| Menard | $806,500 | $524,225 |
| Midland | $806,500 | $524,225 |
| Milam | $806,500 | $524,225 |
| Mills | $806,500 | $524,225 |
| Mitchell | $806,500 | $524,225 |
| Montague | $806,500 | $524,225 |
| Montgomery | $806,500 | $524,225 |
| Moore | $806,500 | $524,225 |
| Morris | $806,500 | $524,225 |
| Motley | $806,500 | $524,225 |
| Nacogdoches | $806,500 | $524,225 |
| Navarro | $806,500 | $524,225 |
| Newton | $806,500 | $524,225 |
| Nolan | $806,500 | $524,225 |
| Nueces | $806,500 | $524,225 |
| Ochiltree | $806,500 | $524,225 |
| Oldham | $806,500 | $524,225 |
| Orange | $806,500 | $524,225 |
| Palo Pinto | $806,500 | $524,225 |
| Panola | $806,500 | $524,225 |
| Parker | $806,500 | $563,500 |
| Parmer | $806,500 | $524,225 |
| Pecos | $806,500 | $524,225 |
| Polk | $806,500 | $524,225 |
| Potter | $806,500 | $524,225 |
| Presidio | $806,500 | $524,225 |
| Rains | $806,500 | $524,225 |
| Randall | $806,500 | $524,225 |
| Reagan | $806,500 | $524,225 |
| Real | $806,500 | $524,225 |
| Red River | $806,500 | $524,225 |
| Reeves | $806,500 | $524,225 |
| Refugio | $806,500 | $524,225 |
| Roberts | $806,500 | $524,225 |
| Robertson | $806,500 | $524,225 |
| Rockwall | $806,500 | $563,500 |
| Runnels | $806,500 | $524,225 |
| Rusk | $806,500 | $524,225 |
| Sabine | $806,500 | $524,225 |
| San Augustine | $806,500 | $524,225 |
| San Jacinto | $806,500 | $524,225 |
| San Patricio | $806,500 | $524,225 |
| San Saba | $806,500 | $524,225 |
| Schleicher | $806,500 | $524,225 |
| Scurry | $806,500 | $524,225 |
| Shackelford | $806,500 | $524,225 |
| Shelby | $806,500 | $524,225 |
| Sherman | $806,500 | $524,225 |
| Smith | $806,500 | $524,225 |
| Somervell | $806,500 | $524,225 |
| Starr | $806,500 | $524,225 |
| Stephens | $806,500 | $524,225 |
| Sterling | $806,500 | $524,225 |
| Stonewall | $806,500 | $524,225 |
| Sutton | $806,500 | $524,225 |
| Swisher | $806,500 | $524,225 |
| Tarrant | $806,500 | $563,500 |
| Taylor | $806,500 | $524,225 |
| Terrell | $806,500 | $524,225 |
| Terry | $806,500 | $524,225 |
| Throckmorton | $806,500 | $524,225 |
| Titus | $806,500 | $524,225 |
| Tom Green | $806,500 | $524,225 |
| Travis | $806,500 | $571,550 |
| Trinity | $806,500 | $524,225 |
| Tyler | $806,500 | $524,225 |
| Upshur | $806,500 | $524,225 |
| Upton | $806,500 | $524,225 |
| Uvalde | $806,500 | $524,225 |
| Val Verde | $806,500 | $524,225 |
| Van Zandt | $806,500 | $524,225 |
| Victoria | $806,500 | $524,225 |
| Walker | $806,500 | $524,225 |
| Waller | $806,500 | $524,225 |
| Ward | $806,500 | $524,225 |
| Washington | $806,500 | $524,225 |
| Webb | $806,500 | $524,225 |
| Wharton | $806,500 | $524,225 |
| Wheeler | $806,500 | $524,225 |
| Wichita | $806,500 | $524,225 |
| Wilbarger | $806,500 | $524,225 |
| Willacy | $806,500 | $524,225 |
| Williamson | $806,500 | $571,550 |
| Wilson | $806,500 | $557,750 |
| Winkler | $806,500 | $524,225 |
| Wise | $806,500 | $563,500 |
| Wood | $806,500 | $524,225 |
| Yoakum | $806,500 | $524,225 |
| Young | $806,500 | $524,225 |
| Zapata | $806,500 | $524,225 |
| Zavala | $806,500 | $524,225 |
These limits provide flexibility for buyers while aligning with median home values in each area. Counties with higher FHA limits, such as Bastrop and Bexar, reflect localized price trends and greater borrowing capacity.
What are jumbo loans?
Jumbo loans are mortgages that exceed the conforming loan limits set by federal agencies like Fannie Mae and Freddie Mac. In Texas, the 2025 conforming loan limit for single-family homes is $806,500. Any home loan surpassing this amount is classified as a jumbo loan.
These loans are designed to accommodate higher property values by providing financing options beyond the standard limits. Since jumbo loans aren’t sold to government-backed entities, they carry greater risk for lenders. As a result, qualifying typically requires excellent credit, substantial income, and a lower debt-to-income ratio.
Jumbo loans offer flexible terms and can finance properties valued at $3 million or more. They are a common choice for buyers seeking upscale homes in Texas, such as luxury ranches or urban residences in high-cost areas like Austin, Dallas, or Houston.
Minimum and maximum loan amounts
Loan amounts in Texas for 2025 vary based on loan type and county. The conforming loan limit is consistent statewide at $806,500 for single-family homes. FHA loan limits, but, depend on location, ranging from $524,225 to $571,550.
Jumbo loans begin where conforming loan limits end. For example, any loan exceeding $806,500 qualifies as a jumbo loan. These loans can finance properties priced up to $3 million or more, offering customized answers for buyers in high-value areas like Austin, Dallas, and Houston.
Why do conforming loans have limits?
Conforming loans have limits to standardize mortgage products and manage risk for lenders. These limits, set annually by the Federal Housing Finance Agency (FHFA), define the maximum loan amount that government-sponsored entities like Fannie Mae and Freddie Mac can purchase or guarantee.
By capping loan amounts, the FHFA ensures stability in the mortgage market and protects taxpayers from excessive risk. Conforming limits also reflect median home prices, which means higher-cost areas often have increased limits to align with local property values. For 2025, the base conforming limit is $806,500 nationwide, ensuring accessibility for most homebuyers while addressing regional price variations.
Loans exceeding these limits are classified as jumbo loans, which can’t be purchased by Fannie Mae or Freddie Mac. This classification leads to stricter lending requirements, as lenders bear more risk.
Jumbo loan requirements
Jumbo loans in Texas require stricter qualifications due to their size and risk. Borrowers need a minimum credit score of 680, though many lenders prefer scores above 700 for competitive terms. A stable and high income is essential, with debt-to-income (DTI) ratios typically capped at 43%. This ensures borrowers can manage monthly payments without financial strain.
Lenders usually request a down payment of at least 10% to 20%, depending on the loan amount and borrower profile. Homes with higher prices often necessitate larger down payments to mitigate risks. Liquid asset reserves equal to six months of mortgage payments are also a standard requirement to demonstrate financial stability.
Standard documentation includes proof of income, employment history, account statements, and property appraisals. For self-employed applicants, two years of tax returns and additional business financials may be necessary. Jumbo loans are designed for individuals purchasing homes that exceed the $806,500 conforming limit, particularly in high-cost Texas areas like Austin or Houston.
What are jumbo loan rates?
Jumbo loan rates typically vary based on the borrower’s credit profile, loan amount, and market conditions. These rates are often slightly higher than conforming loan rates because jumbo loans carry more risk for lenders due to their larger size and nonconforming status.
We usually see lenders offering competitive interest rates to borrowers with strong credit scores, typically above 700, and low debt-to-income (DTI) ratios under 43%. Also, higher down payments, often ranging from 10% to 20%, can lead to more favorable rates. Borrowers with substantial liquid reserves may qualify for further discounts.
Market fluctuations greatly affect jumbo loan rates. During periods of economic stability, lenders may reduce rates to attract high-net-worth clients, while uncertain market conditions can lead to more stringent terms and increased rates. It’s important to compare offers when exploring jumbo loans to secure the best financing for your property.
How to shop for a jumbo loan
Understanding key factors simplifies the process of shopping for a jumbo loan. With higher borrowing requirements, it’s crucial to evaluate options thoroughly to secure the best terms.
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Compare lenders’ offers
Explore multiple lenders to identify competitive interest rates, flexible terms, and minimal fees. For example, some institutions may offer no private mortgage insurance (PMI), reducing overall costs.
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Assess qualification criteria
Ensure your credit score, income, and debt-to-income (DTI) ratio meet lenders’ requirements. A credit score of 700+ and a DTI under 43% are commonly expected for jumbo loans.
-
Analyze down payment expectations
Jumbo loans often require at least 10%-20% down, depending on the loan size and financial profile. Higher down payments may result in lower interest rates.
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Understand rate adjustments
Jumbo loan rates vary based on market conditions. Lock in favorable rates early to minimize exposure to fluctuations if market trends indicate rising rates.
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Evaluate lender reputation
Choose lenders with a strong track record in jumbo financing. Look for transparent terms, streamlined application processes, and responsive customer support.
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Gather required documents
Prepare essential paperwork, including proof of income, tax returns for two years, and bank statements. Self-employed borrowers should include business financials.
Shopping for a jumbo loan requires careful evaluation of lender terms, borrower qualifications, and market conditions.
Is a jumbo loan right for you?
Deciding whether a jumbo loan fits your needs depends on your financial situation and homeownership goals. With higher loan amounts available in 2025, these loans open doors to upscale properties but come with stricter requirements and slightly higher interest rates.
It’s essential to evaluate your credit score, income stability, and ability to meet lenders’ expectations before pursuing this financing option. By comparing lenders, understanding market trends, and preparing the necessary documentation, you can position yourself for success in securing the best terms.
For those ready to invest in Texas’ competitive housing market, jumbo loans offer the flexibility to finance dream homes in high-cost areas. With careful planning and the right lender, this could be a smart path toward achieving your homeownership goals.
Frequently Asked Questions
What is the conforming loan limit in Texas for 2025?
The conforming loan limit for Texas in 2025 is $806,500 for single-family homes. This limit applies statewide and aligns with median home prices. Loans that exceed this amount are classified as jumbo loans.
What qualifies as a jumbo loan in Texas?
A jumbo loan in Texas is a mortgage that exceeds the conforming loan limit of $806,500 for 2025. These loans are designed for high-priced properties and require stricter borrower qualifications due to their higher risk.
What credit score is needed for a jumbo loan in Texas?
Borrowers typically need a minimum credit score of 680 for a jumbo loan in Texas. However, many lenders prefer scores above 700 to offer better terms and lower interest rates.
What are the down payment requirements for a jumbo loan in Texas?
Jumbo loans in Texas usually require a down payment of 10%-20%, depending on the loan amount and the borrower’s financial profile. Higher down payments may lead to lower interest rates.
How do jumbo loan interest rates compare to conforming loan rates?
Jumbo loan interest rates are often slightly higher than conforming loan rates due to their larger size and increased risk for lenders. Borrowers with strong credit and low debt-to-income ratios may secure more competitive rates.
Do jumbo loans in Texas require private mortgage insurance (PMI)?
Jumbo loans typically do not require private mortgage insurance (PMI), even with a less than 20% down payment. However, lenders may impose stricter qualifications to offset risk.
What are the FHA loan limits in Texas for 2025?
FHA loan limits in Texas for 2025 vary by county, ranging from $524,225 to $571,550, depending on local median home prices. These limits allow for more flexible financing options in higher-cost areas.
What documentation is needed to apply for a jumbo loan in Texas?
To apply for a jumbo loan in Texas, borrowers need proof of income, employment history, asset and account statements, property appraisals, and tax returns. Self-employed applicants may need additional business financial records.
Can self-employed borrowers qualify for a jumbo loan?
Yes, self-employed borrowers can qualify for a jumbo loan, but they must provide two years of tax returns, income documentation, and comprehensive business financials to meet lender requirements.
How can I find the best jumbo loan lender in Texas?
To find the best lender for jumbo loans in Texas, compare interest rates, fees, and terms from multiple lenders. Evaluate their reputation and ensure your credit score, income, and debt-to-income ratio meet their qualifications.
