What is the difference between jumbo and conventional loan limits?

Short answerConventional loans stay within conforming loan limits set annually for each county and can be sold to Fannie Mae or Freddie Mac. Jumbo loans exceed those limits and are kept or sold by private investors, so lenders set their own stricter rules on credit, down payment, and reserves. In high-cost areas the conforming limit is higher, so check your county's current figure before assuming you need jumbo.