2025 High-Balance Conventional Loans: County Map, Qualifying Rules

High-balance conventional loans are conforming loans that exceed the baseline FHFA limit ($766,550 for 2025) but stay within the higher limits designated for high-cost counties—up to $1,149,825 for single-family homes. These loans meet Fannie Mae and Freddie Mac underwriting standards but require slightly stricter qualification than baseline conforming loans, including higher credit scores, additional reserves, and sometimes larger down payments.

If you’re buying in expensive metro areas like San Francisco, Seattle, New York City, or Honolulu, understanding high-balance loan limits and qualification rules is essential for accessing competitive rates without jumping to jumbo financing.

In this guide, we’ll explain what high-balance conventional loans are, which counties qualify, how to qualify, and why these loans offer better rates than jumbo mortgages.

What Is a High-Balance Conventional Loan?

A high-balance conventional loan (also called a high-balance conforming loan) is a mortgage that:

• Exceeds the baseline conforming limit ($766,550 for 2025 in most counties)
• Stays within the high-cost area limit (up to $1,149,825 for 2025)
• Meets Fannie Mae and Freddie Mac underwriting standards, allowing lenders to sell the loan to these government-sponsored enterprises

Because these loans can be sold to Fannie and Freddie, they offer better rates than jumbo loans—even though they require stricter qualification than baseline conforming loans.

2025 High-Balance Loan Limits by Property Type

For counties designated as high-cost areas, the 2025 maximum conforming loan limits are:

• Single-Family Home: $1,149,825
• Two-Unit Property: $1,472,250
• Three-Unit Property: $1,779,525
• Four-Unit Property: $2,211,600

These limits apply only in counties where median home prices exceed 115% of the national median, as determined annually by the FHFA.

Which Counties Have High-Balance Loan Limits?

High-balance limits apply to designated high-cost counties across the United States. Here are some of the most notable areas:

California High-Balance Counties (2025)

• San Francisco County: $1,149,825
• Santa Clara County (San Jose): $1,149,825
• San Mateo County: $1,149,825
• Marin County: $1,149,825
• Orange County: $1,149,825
• Los Angeles County: $1,149,825
• San Diego County: $1,149,825
• Alameda County (Oakland): $1,089,300
• Contra Costa County: $1,019,500

New York High-Balance Counties

• New York County (Manhattan): $1,149,825
• Kings County (Brooklyn): $1,149,825
• Queens County: $1,149,825
• Westchester County: $1,089,300
• Nassau County: $1,019,500

Washington High-Balance Counties

• King County (Seattle): $1,019,500
• Snohomish County: $918,750
• Pierce County (Tacoma): $918,750

Hawaii High-Balance Counties

• Honolulu County: $1,149,825
• Maui County: $1,149,825
• Hawaii County: $1,149,825
• Kauai County: $1,149,825

Colorado High-Balance Counties

• Boulder County: $918,750
• Denver County: $766,550 (baseline)
• Summit County: $1,089,300

Other Notable High-Balance Areas

• Washington, D.C.: $1,089,300
• Monroe County, Florida (Keys): $1,149,825
• Martha’s Vineyard & Nantucket, MA: $1,149,825
• Jackson Hole, Wyoming: $1,089,300

You can verify your specific county’s limit through Browse Lenders or the FHFA’s official loan limit lookup tool.

High-Balance Loan Qualification Requirements

High-balance conventional loans have stricter qualification standards than baseline conforming loans. Here’s what lenders typically require:

Credit Score Requirements

• Minimum 680 credit score for most high-balance loans
• 700+ for competitive rates
• 740+ for the best pricing

Your middle credit score determines your loan-level price adjustments (LLPAs), which directly affect your interest rate. Borrowers with scores below 700 face higher rates and may need larger down payments.

Down Payment Requirements

• 10% minimum for high-balance loans (some lenders)
• 15-20% preferred for the best rates
• 25% required for investment properties or second homes

Larger down payments reduce lender risk and often unlock better rate pricing, especially for high-balance amounts above $1 million.

Debt-to-Income Ratio (DTI)

• 43% maximum DTI (standard)
• 36-40% preferred for high-balance loans above $900,000

Some lenders allow DTIs up to 45% with compensating factors like high credit scores, significant reserves, or substantial down payments.

Reserve Requirements

High-balance loans require more reserves (liquid assets) than baseline conforming loans:

• 6 months of PITI reserves for primary residences
• 12 months for second homes or investment properties
• Additional reserves for borrowers with high DTI or lower credit scores

Reserves include checking, savings, retirement accounts (discounted by 30-40%), and other liquid assets.

Documentation Requirements

High-balance loans require full documentation:

• Two years of tax returns (W-2s, 1099s, Schedule C for self-employed)
• Two months of bank statements for assets and down payment
• Pay stubs for employed borrowers (recent 30 days)
• Profit & loss statements for self-employed borrowers

Stated income or low-doc options are not available for conforming high-balance loans.

Real-Life Example: High-Balance Loan in San Francisco

Let’s say you’re buying a $1.2 million home in San Francisco County, where the 2025 conforming loan limit is $1,149,825. You’re putting 15% down ($180,000), which means you need a $1,020,000 loan.

Because $1,020,000 exceeds the baseline conforming limit ($766,550) but stays within San Francisco’s high-cost limit ($1,149,825), you qualify for a high-balance conventional loan—not a jumbo loan.

Here’s what that means:

• Better rates than jumbo: High-balance conforming loans typically offer rates 0.25% to 0.50% lower than jumbo loans.
• Stricter qualification than baseline conforming: You’ll need a 700+ credit score, 6 months reserves, and 43% or lower DTI.
• Still cheaper than non-conforming: High-balance loans have standardized underwriting and better rate pricing than portfolio jumbo loans.

Over 30 years, a 0.25% rate difference on a $1,020,000 loan saves approximately $50,000 in interest—making high-balance conventional loans significantly cheaper than jumbo financing.

High-Balance Conventional vs Jumbo Loans: Key Differences

Understanding the difference between high-balance conventional and jumbo loans helps you plan your financing strategy:

If your loan amount exceeds your county’s conforming limit, you’ll need jumbo financing—which means stricter underwriting, higher rates, and larger down payments.

Strategies to Qualify for High-Balance Conventional Loans

If you’re buying in a high-cost area, here are strategies to qualify for high-balance conventional loans with the best rates:

1. Improve Your Middle Credit Score

Focus on your middle credit score (the middle of your three FICO scores from Experian, Equifax, and TransUnion). Lenders use this score to determine rate pricing, so improving your score from 690 to 720 can save thousands over the life of the loan.

Strategies include:

• Pay down credit card balances to improve utilization
• Dispute errors on your credit report
• Avoid new credit applications within 90 days of applying for a mortgage
• Make all payments on time for at least 6-12 months before applying

Learn more about credit score strategies at Middle Credit Score.

2. Increase Your Down Payment

Larger down payments reduce lender risk and often unlock better rate pricing. If you’re at 10% down, increasing to 15% or 20% may save 0.125% to 0.25% on your interest rate—which translates to significant savings on high-balance loans.

3. Build Sufficient Reserves

High-balance loans require 6-12 months of reserves. If you’re short, consider:

• Delaying your purchase to save more
• Using retirement account funds (discounted by 30-40% for reserve calculations)
• Gift funds from family (must be properly documented)

4. Lower Your Debt-to-Income Ratio

If your DTI is above 43%, consider:

• Paying off small debts before applying (car loans, student loans, credit cards)
• Increasing your income through bonuses, raises, or side income (must be documented for 2+ years)
• Co-borrowing with a spouse or family member to increase household income

5. Shop Multiple Lenders

High-balance loan pricing varies significantly by lender. Shopping at least 3-5 lenders through Browse Lenders helps you compare rates, fees, and qualification standards to find the best deal.

High-Balance Loan Rate Pricing: What to Expect

High-balance conventional loans have slightly higher rates than baseline conforming loans but still beat jumbo rates. Here’s what affects your pricing:

Loan-Level Price Adjustments (LLPAs)

Fannie Mae and Freddie Mac apply LLPAs based on:

• Credit score (higher scores = lower adjustments)
• LTV ratio (lower LTV = lower adjustments)
• Property type (primary residence, second home, investment)
• Loan amount (high-balance loans have higher LLPAs than baseline conforming)

A borrower with a 740 credit score and 20% down will get much better pricing than a borrower with a 680 score and 10% down—even on the same loan amount.

Typical Rate Differences (2025 Estimates)

• Baseline conforming loan (under $766,550): 6.50% (example)
• High-balance conventional ($766,551 to $1,149,825): 6.625% - 6.75%
• Jumbo loan (over county limit): 6.875% - 7.25%

These are illustrative examples—actual rates depend on credit score, LTV, reserves, and lender pricing.

Common High-Balance Loan Mistakes to Avoid

1. Assuming You Need a Jumbo Loan

Many borrowers assume loans above $766,550 are automatically jumbo loans—but if you’re in a high-cost county, you may qualify for high-balance conventional financing with better rates.

Always check your county’s specific conforming loan limit before assuming you need jumbo financing.

2. Not Building Enough Reserves

High-balance loans require 6-12 months of reserves. Borrowers who deplete all their savings for the down payment often get denied for insufficient reserves.

Plan to keep at least 6 months of mortgage payments in liquid accounts after closing.

3. Ignoring Credit Score Impacts

A 680 credit score may get you approved, but a 740 score saves you thousands in interest over 30 years. If your score is below 720, consider delaying your purchase by 3-6 months to improve your credit.

4. Not Shopping Multiple Lenders

High-balance loan pricing varies significantly by lender. One lender may offer 6.625% while another quotes 6.875% for the same scenario—a difference of $60,000+ in interest over 30 years.

Always shop at least 3-5 lenders before committing.

High-Balance Loans and Cash-Out Refinancing

If you’re refinancing an existing high-balance loan or doing a cash-out refinance in a high-cost area, the same limits apply. You can refinance up to $1,149,825 (in high-cost counties) and still qualify for conforming pricing—as long as you meet credit, DTI, and reserve requirements.

Cash-out refinancing in high-balance counties requires:

• 720+ credit score for best pricing
• Maximum 80% LTV after cash-out
• 6-12 months reserves post-closing
• Strong income documentation and DTI under 43%

Final Thoughts: High-Balance Loans Offer Better Rates Than Jumbo

If you’re buying in a high-cost county, high-balance conventional loans offer the best of both worlds—larger loan amounts with conforming rate pricing. By understanding your county’s loan limits, improving your credit score, building sufficient reserves, and shopping multiple lenders, you can secure competitive financing without jumping to jumbo loans.

Connect with verified loan officers through Browse Lenders to get county-specific guidance, transparent rate quotes, and expert advice on high-balance conventional loan qualification.

Knowing your county’s high-balance limits isn’t just about numbers—it’s about maximizing your borrowing power and minimizing your long-term interest costs in expensive housing markets.