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Written by David Ghazaryan, Mortgage Broker, NMLS 1486726 · iQRATE Mortgages, Company NMLS 1862492 · Last updated: November 12, 2026
Quick answer: A jumbo loan is a mortgage above the conforming loan limit. For 2026, the conforming limit for a one-unit home in Harris County is $832,750, per the Federal Housing Finance Agency (FHFA). Any loan amount above that is a jumbo loan. Houston-area jumbo files turn on three local items. First, a stacked property tax rate of about $2.13 per $100 of value inside the City of Houston and Houston ISD, before exemptions. Second, flood zone and insurance rules. Third, any Municipal Utility District (MUD) tax in the suburbs. iQRATE Mortgages is a mortgage broker licensed in Texas. We compare many lenders for jumbo files. This is not a commitment to lend.
Start a jumbo application or call (702) 766-3744.
Harris County uses the national base limit. There is no high-balance tier. The one-unit conforming limit is $832,750. iQRATE's own Houston mortgage broker page says jumbos are common in River Oaks, West University and Memorial. Whether you need one depends on the price of the home you want, not on the metro average. FHFA publishes the full list: see its 2026 limits announcement and the county-by-county limit list. Fort Bend and Montgomery counties share the same 2026 limits. A Sugar Land address does not change the jumbo line. Tax rates and MUDs still differ by address.
| Units | Conforming limit (jumbo starts above) | FHA limit |
|---|---|---|
| 1 | $832,750 | $541,287 |
| 2 | $1,066,250 | $693,050 |
| 3 | $1,288,800 | $837,700 |
| 4 | $1,601,750 | $1,041,125 |
Source: FHFA 2026 conforming loan limits; HUD Mortgagee Letter 2025-23, as cited on iQRATE's Houston page. A buyer who lives in one unit of a duplex, triplex or fourplex gets the higher unit limit.
A loan above the limit is a jumbo. The whole loan is then underwritten under jumbo rules, not just the slice above the line. This table shows how far common loan amounts sit above $832,750. It is plain subtraction. It is not an offer.
| Loan amount | Amount above $832,750 |
|---|---|
| $900,000 | $67,250 |
| $1,000,000 | $167,250 |
| $1,250,000 | $417,250 |
| $1,500,000 | $667,250 |
| $2,000,000 | $1,167,250 |
Conforming loans follow limits and guidelines that FHFA oversees. A jumbo falls outside that box. So each lender writes its own jumbo guidelines. Credit score, cash reserves, appraisal requirements and the paperwork they want can all differ from one lender to the next. One lender may like a file that another turns down. That is the main reason a broker adds value on a large loan. A broker can send the same file to the lenders whose rules fit it. Public mortgage data is searchable in the FFIEC HMDA data browser, which shows how widely lending practices vary.
Reserves means money left in the bank after closing. Jumbo lenders often ask about it, because the loan is large. How much they want is each lender's call. We do not publish a number here, because it is not one rule. We tell you what each lender asks for before you commit to a lender.
The Census Bureau's 2020-2024 survey shows why jumbo talk differs across the metro. Home values are much higher in Fort Bend County and Sugar Land than in the city. All rows below come from Census data quoted on iQRATE's Houston page.
| Place | Median home value | Median household income | Owner rate | Median rent |
|---|---|---|---|---|
| Houston city | $277,800 | $64,813 | 42.1% | $1,361 |
| Harris County | $276,600 | $74,983 | 54.7% | $1,401 |
| Fort Bend County | $374,500 | $114,041 | 77.0% | $1,807 |
| Montgomery County | $346,200 | $97,701 | 71.8% | $1,532 |
| Sugar Land | $430,200 | $136,217 | 80.3% | $1,957 |
The metro's median listing price was about $353,995 in September 2026, per iQRATE's Houston page. That is far below the $832,750 line. So jumbo loans fit mainly in the higher-priced pockets, such as the three neighborhoods named above. For price trends in a specific area, Zillow Research data is a public starting point. Harris County grew 6.7% from 2020 to 2025, to 5,045,026 people. Fort Bend grew 18.3%. Montgomery grew 25.9%. Fast growth means new homes. New homes often sit in a MUD.
A Municipal Utility District pays for water, sewer and drainage in many suburbs. It does that through its own property tax, which lands on top of the city, county and school rates. iQRATE's Houston page says MUDs can add roughly 0.2 to 1.0 points to the rate. Lenders count the MUD tax in your payment. On a large loan, even a small MUD rate moves the yearly bill by a meaningful amount. Ask the seller or agent for the MUD rate before you sign, not after.
Texas has no state income tax and no transfer tax. But property tax is high. It drives the payment on a large loan. These are 2025 rates for a home inside the City of Houston and Houston ISD, from the Harris Central Appraisal District. Rates are per $100 of taxable value.
| Taxing unit | 2025 rate per $100 | Homestead exemption |
|---|---|---|
| Houston ISD | $0.8783 | 20% plus $140,000 |
| City of Houston | $0.5192 | 20% |
| Harris County | $0.3810 | 20% |
| Harris Health | $0.1876 | 20% |
| Houston Community College | $0.0988 | 17% |
| Flood Control District | $0.0497 | 20% |
| Port of Houston | $0.0059 | 20% |
| Harris Co. Dept. of Education | $0.0048 | 20% |
| Total | About $2.13 |
Here is the yearly tax on larger values at about $2.13 per $100, before any exemption. It is math on the rate above, not a quote. A homestead filing lowers the real bill. A MUD raises it.
| Taxable value | Yearly tax |
|---|---|
| $850,000 | $18,105 |
| $1,000,000 | $21,300 |
| $1,500,000 | $31,950 |
| $2,000,000 | $42,600 |
Since the 2025 tax year, school districts must exempt $140,000 of a homestead's value. Owners 65 or older, or disabled, get $60,000 more. Texas taxes are billed each October and paid late. So lenders usually collect about 2 to 6 months of taxes into escrow at closing. The seller's prorated tax credit offsets part of that. Ask for the MUD rate before you sign. Lenders count it in your payment.
The homestead exemption is for your main home, so it applies only to an owner-occupied purchase. It does not apply to a rental. Here is the sequence iQRATE's Houston page lays out:
Owner-occupants also get a cap on yearly appraisal increases after the first year, per the same page. On a large property, that cap matters for how fast the tax bill can grow.
Lenders require flood insurance in FEMA high-risk flood zones. Many buyers outside those zones buy it anyway. Texas sellers must disclose flood history. They must also say if the home is in a floodplain. Flood history has been part of every purchase since Hurricane Harvey in 2017. A new federal flood policy usually has a waiting period. The wait is waived when you buy the policy with a new mortgage. So set it up before closing. We ask for flood zone and insurance quotes early. The full payment on a jumbo file includes taxes, insurance, flood coverage where needed, HOA dues and any MUD tax.
Texas has a state backup home insurer for owners who cannot get a regular policy. Your lender still needs proof of coverage before closing, so settle insurance early. On a high-value home, replacement cost and coverage limits can take extra time to sort out. Do not wait until the last week of the contract.
Closing costs are what it costs you to get the loan. They include lender charges, the appraisal, and escrow and title. Cash to close also includes your prepaids and your down payment. Prepaids are not a cost of the loan. They are your own bills paid ahead: first-year homeowners insurance, daily interest to month-end, and an escrow deposit for your future taxes and insurance. For Houston-area purchases, the tax escrow deposit is often 2 to 6 months of taxes, partly offset by the seller's prorated tax credit. The first year of homeowners insurance is the other main prepaid, and flood insurance may come on top.
Your actual costs depend on county, price and loan type. So we do not quote a one-size range. Every line is itemized on your Loan Estimate. Federal rules on that form are in Regulation Z section 1026.19. Escrow rules for higher-priced mortgage loans are in section 1026.35. Whether your loan needs an escrow account depends on the lender and program. You are also entitled to a copy of the appraisal used on your file, under Regulation B section 1002.14.
We are a broker. We do not fund loans. On complex files we compare more than 100 lenders. You are not stuck with one bank's menu. We start with your income, assets and property. Then we match the file to lenders whose rules fit. Our general jumbo loan page explains the program in full; this page covers what is particular to Houston-area addresses.
How you earn money shapes the loan program to explore. This table is a starting map, not an approval. Each lender decides what it accepts.
| Borrower profile | Path to explore | Where to read more |
|---|---|---|
| Salaried buyer with bonus pay | Full-document file. iQRATE's Houston page says lenders average bonus income, usually with a two-year history of receiving it. | Ask us on a call |
| Self-employed owner or 1099 earner | Bank statement loan. It uses deposits, not tax returns. | Bank statement loans |
| Rental property buyer | DSCR loan. It uses the rent. For rentals only, not a home you live in. | Houston DSCR loans and DSCR overview |
| Investor with several properties | iQRATE has separate pages on portfolio and serial investor loans. Whether one fits a large purchase depends on the lender. | Portfolio loans and serial investor loans |
| Veteran with full VA entitlement | VA has no loan limit with full entitlement. Compare it with a jumbo. Lenders set their own caps. | VA loan limits |
Jumbo lenders look at your debt-to-income ratio. The CFPB explains it in What is a debt-to-income ratio?. If you own real estate as an investor, our investor loans page lists the other programs.
Business write-offs lower your taxable income. That can shrink the loan a tax-return lender will approve. A bank statement loan uses deposits instead. It is built for self-employed borrowers, 1099 earners and business owners such as energy-sector owners. Terms vary by lender, and not every lender offers it at jumbo size. We check which ones do before you apply. Read the bank statement loan page for what to gather first.
DSCR means debt service coverage ratio. It is the rent divided by the full payment. For Houston rental buyers, the full payment holds high taxes, insurance, any HOA dues and any MUD tax, so those costs count against the rent. A DSCR loan looks at the rent, not your pay stubs. It needs no tax returns and can close in an LLC.
DSCR loans are business-purpose loans for non-owner-occupied property only. They are not for a home you live in. See the Houston DSCR page for details.
Texas treats cash-out loans on a homestead under Section 50(a)(6) of its constitution. The rule caps the loan as a share of the home's value. It also gives you a 12-day notice before closing and 3 days to cancel after closing. A jumbo cash-out is possible only if a lender's own rules allow it at your loan size and the state cap leaves room. Ask us before you plan around cash out.
David Ghazaryan is also a real estate investor. In his own words: "One thing being a real estate investor has taught me is that getting a loan approved and making a good investment are two different things." He adds: "I've seen investors spend weeks negotiating a purchase price and then barely examine the financing terms."
On how he looks at a file, David says: "They focus on the interest rate. I look at the entire transaction: cash invested, monthly carrying costs, reserves, prepayment penalties, and the exit strategy." And on prepayment: "A loan that saves you money today can become expensive if you need to refinance or sell before a prepayment penalty expires." He describes his goal this way: "I'm interested in whether the financing supports the investment strategy, not simply whether a lender will approve it."
David describes a Las Vegas case, not a Texas one. An investor client applied through a builder's preferred lender to keep the builder's incentives. That lender denied her loan. She had met the builder's requirement to apply through its lending channel, and the builder agreed to honor the incentives with outside financing. iQRATE arranged a DSCR mortgage that used the property's rental income, not a personal debt-to-income calculation. David says it closed in less than three weeks. His lesson: a lender's denial does not necessarily mean a good opportunity is dead. This is one past case. It is not a promise of any result. You can read more about David on the About page.
iQRATE's Houston page shares four real files from its own records. The numbers are rounded and names and addresses are left out. None of these four is a jumbo. They show how our process works across the metro, and they are shared as history, not as a promise.
Past results do not guarantee future outcomes. Timing depends on the lender, the appraisal, the title company and how fast documents arrive.
Houston has no zoning. Deed restrictions and HOAs do that job. Read them before you sign. They can ban short-term rentals. Since 2025, every short-term rental within city limits needs a yearly certificate of registration, and platforms must show the number. If you plan to rent a large home short term, check both the city rule and the deed restrictions before you buy.
For 2026, a loan above $832,750 on a one-unit home in Harris County is a jumbo loan. The FHFA sets the conforming limit.
The 2026 conforming limit is $1,066,250 for two units, $1,288,800 for three units and $1,601,750 for four units. Above those amounts the loan is a jumbo.
No. All three counties are in the Houston metro and share the same 2026 FHA and conforming limits. Tax rates and MUDs still differ by address.
At the 2025 combined rate of about $2.13 per $100, the tax before exemptions is about $21,300 a year. A homestead exemption lowers it, and a MUD raises it.
A Municipal Utility District pays for water, sewer and drainage in many suburbs through its own property tax. Lenders count it in your payment.
File with the Harris Central Appraisal District after you move in. The usual deadline is April 30 of the tax year. You can apply once the home is your main home.
It lowers your tax bill, so it can lower your escrow. Your servicer reviews escrow each year. A lower bill can cut your payment after that review.
Yes in FEMA high-risk flood zones. It is wise in many other areas too, and Texas sellers must disclose flood history. We price insurance before you lock.
No. Texas has no real estate transfer tax or deed stamps.
Some lenders offer bank statement programs that use deposits instead of tax returns. Terms vary by lender, so we compare them for you.
Often, yes. Veterans with full VA entitlement have no VA loan limit. But lenders may set their own caps. So compare a VA option with a conventional jumbo.
A DSCR loan qualifies on the rent. It is for business-purpose, non-owner-occupied property only, not a home you live in. See the DSCR links above.
Texas limits homestead cash-out loans under Section 50(a)(6). You get a 12-day notice before closing and 3 days to cancel after closing.
No. iQRATE Mortgages is a mortgage broker. We compare lenders and help you apply, and the lender decides on credit approval.
Call or text (702) 766-3744 or apply online. We check your credit, income and assets, compare lenders and show you the full payment.
Call or text (702) 766-3744, apply now, or contact us to schedule a call. For broader coverage of FHA and conventional loans, read the Houston mortgage broker page linked near the top of this page.
These are verbatim 5-star reviews of David and the iQRATE team from other markets. They are company-wide reviews, not stories about any one area's loans, and they are not a promise about your loan.
"Andrei and David were so great! They're helpful and communicated everything with me through the whole process. I am so pleased and look forward to using iqrate for my future investment properties. 10/10 Will be reccomending to friends."
"Great professional work! Because of exceptional coordination from Andrei and the team, our escrow was closed seamlessly several days earlier. All our questions and concerns were addressed promptly. My husband and I would highly recommend this team to whoever is looking for a new mortgage or refinancing."
"My experience with the IQRATE team was phenomenal. I bought my first house and they helped me through the entire process. David , Andrei & Gayane were so helpful, communicative & patient with me as I had so many questions throughout the entire process. They made everything so simple & effortless & I will definitely be working with them for any mortgage needs I have."
"Outstanding service with the help from this team! Everything was smooth, effortless, and headache free! They answered all my questions with ease & I will recommend friends and family as well! I most definitely will continue using this company for future mortgage needs!"
"Very efficient and transparent service. They go above and beyond to deliver the loan closure on time even in a very tight time line. Also very resourceful and knowledgeable staff. I'll go to them again next time I need a loan."
"David handled the purchase of my investment duplex in Olympia - Washington State. He came recommended by my realtor, and was very attentive, closed on time, and communicated clearly."
Read more on our reviews page or the iQRATE Zillow profile.
Disclosures: iQRATE Mortgages is a mortgage broker, not a lender. Company NMLS 1862492; David Ghazaryan NMLS 1486726. You can verify us on NMLS Consumer Access. Licensed in Texas, Nevada, California and Florida. Equal Housing Opportunity. Terms change. Approval depends on credit, property and underwriting. This page is general information. It is not a commitment to lend. It is not legal or tax advice. Local figures come from FHFA, the Census Bureau and the Harris Central Appraisal District. Call or text (702) 766-3744.
