Finance

Which of the following is a characteristic of a 'jumbo loan' in Mississippi?

AIt is insured by the FHA
BThe loan amount exceeds the conforming loan limits set by FHFA, making it ineligible for Fannie/Freddie purchase✓ Correct
CIt requires no down payment
DIt is only available for commercial real estate

Explanation

A jumbo (non-conforming) loan exceeds FHFA's conforming loan limits, making it ineligible for purchase by Fannie Mae or Freddie Mac. These loans typically require stronger credit, larger down payments, and carry higher rates.

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