A Texas jumbo loan from Flagstone Mortgage provides financing for homebuyers and homeowners purchasing or refinancing properties above the Texas conforming loan limit of $806,500 in 2025. Designed for high-value real estate, jumbo loans eliminate the need for multiple mortgages, offering one convenient loan with competitive rates and flexible terms. Whether you're buying a luxury home, refinancing to access equity, or securing a second property, Flagstone delivers tailored solutions backed by local expertise.
What Is a Jumbo Loan in Texas?
A jumbo mortgage loan is any loan amount that exceeds the maximum conforming limit set each year by the Federal Housing Finance Agency (FHFA). These limits define the maximum amount Fannie Mae and Freddie Mac can purchase. In Texas for 2025, that cap is $806,500 for a single-family home. Any mortgage exceeding this amount is considered a jumbo loan, also referred to as a non-conforming loan.
Because Fannie Mae or Freddie Mac does not back jumbo loans, they carry stricter requirements but also offer far greater lending power. Flagstone Mortgage specializes in helping borrowers navigate these requirements and secure jumbo financing up to $3 million, with options for both purchase and refinance.
Why Jumbo Loans Are Different from Conforming Loans
Jumbo loans stand apart from conforming mortgages in several ways:
-
Larger Loan Amounts - Conforming loans stop at $806,500, while Flagstone jumbo loans extend financing up to $3,000,000.
-
Flexible Rate Options - Borrowers can choose between fixed-rate mortgages, offering long-term stability, or adjustable-rate mortgages, which provide initial lower payments.
-
Stricter Qualification Standards - To offset higher lending risks, jumbo mortgages typically require higher credit scores, stronger income verification, and larger reserves.
-
More Customized Financing - Unlike conventional programs with standardized guidelines, jumbo loans offer flexible underwriting tailored to each borrower's unique profile.
Who Qualifies for a Jumbo Mortgage?
Applying for a jumbo loan is similar to applying for a conventional mortgage, but the requirements are more selective. At Flagstone Mortgage, we review several key factors:
1. Credit Score
Most jumbo loans require a credit score of at least 720. A higher score may help you qualify for better interest rates.
2. Debt-to-Income Ratio (DTI)
Lenders generally prefer a DTI under 45% to demonstrate financial stability. A lower ratio signals to lenders that you have the capacity to manage larger mortgage payments.
3. Reserves and Assets
Borrowers are often required to show reserves equivalent to 12 months of mortgage payments in liquid or easily accessible accounts. This ensures you have a financial cushion.
4. Down Payment
While conforming loans may allow for smaller down payments, jumbo loans typically require a down payment of at least 20%. Flagstone helps borrowers explore scenarios to maximize purchasing power while meeting requirements.
5. Documentation
Due to the loan size, you can expect to provide full financial documentation, including tax returns, W-2s or 1099s, pay stubs, bank statements, and proof of additional assets. In some cases, a second property appraisal may be required.
Benefits of Choosing a Jumbo Loan with Flagstone Mortgage
Flagstone Mortgage offers unique advantages when it comes to jumbo financing:
-
Financing Over $1 Million - Ideal for high-value homes in Texas' most desirable markets.
-
One Loan Instead of Multiple Mortgages - Simplifies repayment and avoids higher blended interest rates.
-
Competitive Rates - As a mortgage broker, Flagstone has access to multiple jumbo loan programs, often with lower rates than traditional banks.
-
Variety of Loan Structures - Choose from 15-, 20-, or 30-year fixed-rate mortgages, or opt for adjustable-rate terms that can reduce initial payments.
-
Up to 80% Loan-to-Value (LTV) - Giving you more purchasing power with less upfront cash required.
-
Local Expertise - A Texas-based team that understands the regional housing market and provides one-on-one guidance throughout the process.
Jumbo Loan Options Available Through Flagstone
Flagstone offers a range of jumbo mortgage products to fit diverse financial needs:
Fixed-Rate Jumbo Loans
Best for borrowers seeking long-term payment stability, fixed jumbo loans lock in your interest rate for the entire loan term. This is ideal for buyers planning to stay in their home for many years.
Adjustable-Rate Jumbo Loans (ARMs)
Adjustable-rate mortgages offer a lower initial rate for a set period (such as 5, 7, or 10 years), after which the rate adjusts. ARMs are a strong choice for buyers who anticipate moving or refinancing before the adjustment period begins.
Jumbo Refinance Loans
Homeowners can refinance jumbo loans to:
-
Secure a lower interest rate
-
Access equity through a cash-out refinance
-
Switch from an adjustable to a fixed rate
-
Consolidate debt or improve loan terms
Jumbo Loan Example
Consider a family purchasing a $1.5 million home in The Woodlands, Texas. With a conforming loan limit of $806,500, they would need a jumbo mortgage to cover the remaining balance. By choosing Flagstone, they can finance up to 80% LTV, meaning a down payment of 20% ($300,000) and a jumbo loan of $1.2 million.
Instead of taking out multiple smaller mortgages, this family enjoys one loan, one monthly payment, and the convenience of streamlined financing—all while securing competitive rates.
The Jumbo Loan Process with Flagstone Mortgage
Flagstone makes securing a jumbo loan straightforward:
-
Initial Consultation - Speak with a Flagstone loan officer to discuss goals, budget, and financing options.
-
Pre-Qualification - Get an estimate of how much you can borrow based on your credit, income, and assets.
-
Application & Documentation - Submit required financial paperwork for review.
-
Property Appraisal - A professional appraisal ensures the property value supports the loan amount.
-
Underwriting & Approval - Flagstone's team works quickly to process your application and verify details.
-
Closing - Once approved, you'll sign the final documents, fund the loan, and proceed with your purchase or refinance.
Quick Facts About Flagstone Jumbo Loans
| Feature | Details |
|---|---|
| 2025 Conforming Limit | $806,500 (Texas) |
| Loan Amounts | Up to $3,000,000 |
| Loan Types | 15/20/30-Year Fixed & Adjustable ARMs |
| Loan-to-Value (LTV) | Up to 80% |
| Credit Score | Typically 720+ |
| Reserves Required | 12 months recommended |
| Uses | Purchase, Refinance, Cash-Out |
| Flagstone Advantage | Local expertise, competitive broker rates |
Why Work with Flagstone Mortgage for Jumbo Loans?
Flagstone Mortgage isn't a one-size-fits-all lender. As a Texas-based mortgage broker, the team brings over two decades of experience in matching clients with the right jumbo loan program. Unlike banks with limited product offerings, Flagstone has access to multiple lenders, enabling borrowers to compare options and secure the most favorable rates and terms.
Clients benefit from:
-
Personalized service tailored to unique financial situations
-
Faster turnaround times with responsive communication
-
Flexible underwriting solutions that consider more than just numbers
-
Local knowledge of Texas' luxury and high-value housing markets
Final Thoughts
A jumbo mortgage is the ideal solution for financing high-value homes above the Texas conforming loan limit. With larger loan amounts, flexible rate structures, and expert guidance, Flagstone Mortgage makes it possible to purchase or refinance luxury properties with confidence.
Whether you're moving into your dream home, upgrading to a larger property, or leveraging equity in an existing home, Flagstone provides the expertise and options you need to make your goals a reality.
Ready to take the next step? Contact Flagstone Mortgage today to explore jumbo loan programs and start your application.