What is a jumbo loan in Arizona? 2026 jumbo mortgage limits and requirements

Buying a home in Arizona can mean very different things depending on where you’re looking. You might be eyeing a luxury home in Scottsdale, a growing neighborhood in Phoenix, or a spacious property outside Tucson with room to spread out. In some cases, the price of the home can exceed what a standard conforming mortgage loan allows. When that happens, a jumbo loan can help bridge the gap.

If you’re shopping for a home in Arizona, here’s what to know about jumbo loans, the 2026 loan limits, and the qualifications lenders typically look for.

What is a jumbo loan in Arizona?

A jumbo loan is a mortgage that exceeds the conforming loan limits set each year by the Federal Housing Finance Agency (FHFA). For 2026, the baseline conforming loan limit for a one-unit home is $832,750. Any mortgage above that amount is considered a jumbo loan in most Arizona counties.

Arizona does not contain any FHFA-designated high-cost areas where higher conforming limits apply. This means that loan amounts above the local conforming limit are classified as jumbo loans statewide, regardless of county or city.

Jumbo mortgages are designed for higher-priced homes, whether that’s a newly built property, a home in a competitive market, or one with unique features that drive up value. Because these loans involve larger balances, lenders take a closer look at a borrower’s financial profile to make sure the loan fits comfortably within their long-term budget.

Jumbo loan limits in Arizona (2026)

For 2026, the standard conforming loan limit in Arizona starts at $832,750 for a one-unit property. In high-cost counties, the limit can go as high as $1,249,500. Any loan amount above the applicable county limit is considered a jumbo loan.

For professional developers or those using the loan on a purchase that includes multiple houses, the FHFA also sets higher conforming loan limits for multiunit properties. Once those limits are exceeded, the loan moves into jumbo territory. Here’s how the 2026 limits break down for all Arizona counties.

2026 conforming loan limits in Arizona

• One-unit property: $832,750
• Two-unit property: $1,066,250
• Three-unit property: $1,288,800
• Four-unit property: $1,601,750

Home prices across Arizona have climbed steadily in recent years. As values rise, more buyers may find that their loan amount pushes beyond conforming limits. In those situations, jumbo financing can provide the flexibility needed to move forward with a purchase. You can explore the FHFA conforming loan limit values map for more detailed information by county.

As of January 2026, statewide home prices have actually decreased slightly in Arizona. Year over year prices statewide have declined 0.54%. However, some Arizona cities have seen double digit price growth year over year. Scottdale’s prices have risen the most with 15.4% year over year growth in home prices. Other cities with double-digit price growth year over year include Sedona and Bullhead City.

Some lenders, such as the Rocket Mortgage^® Jumbo Smart loan, offer loan amounts up to $3 million, giving buyers additional options when standard loan limits fall short.

Arizona requirements for a jumbo loan

Because jumbo loans carry more risk for lenders, the approval process usually involves a more detailed financial review. While requirements vary by lender and program, these are some common factors that can influence eligibility.

Property type

Jumbo loans can be used to finance different types of properties, including primary residences, second homes, and investment properties. The specific requirements may vary depending on how you plan to use the home, but jumbo financing often offers flexibility for a wide range of real estate goals.

Credit

Strong credit history is critical when qualifying for a jumbo loan. Many programs look for a minimum credit score around 680, though higher scores may be preferred for larger loan amounts. A solid credit profile helps demonstrate a track record of responsible borrowing.

Down payment

Down payment requirements for jumbo loans often fall between 10% and 20% of the purchase price. The exact amount you’ll need to put down will depend on the loan size, property type, and overall financial profile of the borrower.

Debt-to-income (DTI) ratio

Lenders typically look for a DTI ratio below 43%, including the new mortgage payment. This helps ensure your income can comfortably support your monthly obligations, even with a larger loan amount.

Steady income

Reliable, well-documented income is key when applying for a jumbo mortgage. Lenders may review W-2 income, commission earnings, or self-employment documentation to confirm long-term stability.

Cash reserves

Jumbo loans often require borrowers to have additional cash reserves on hand. Depending on the loan amount, this could mean having 6 to 12 months (or more) of mortgage payments available after closing. Eligible reserves may include liquid assets, savings, or certain retirement accounts.

For Jumbo Smart loan borrowers, reserve requirements are typically scaled based on the size of the loan.

Pros and cons of buying a home in Arizona with a jumbo loan

Pros of jumbo loans include:

• Competitive rates: Well-qualified borrowers may find that jumbo mortgage rates are comparable to, or sometimes lower than, conforming loan rates. Strong credit and financial stability can help unlock better pricing.
• No PMI: Many jumbo loans don’t require private mortgage insurance, even with a down payment under 20%. This can help keep monthly payments lower.
• Flexible loan options: Jumbo loans are available in fixed-rate and adjustable-rate structures and can be used for primary residences, second homes, or investment properties. Some buyers may also qualify for FHA or VA jumbo options, depending on eligibility.

Cons of jumbo loans include:

• More detailed financial review: Jumbo loans involve closer scrutiny of your finances. While this helps ensure long-term affordability, borrowers with higher debt or recent credit issues may need more preparation time.
• Higher upfront costs: Because home prices are higher, down payments and closing costs typically involve larger dollar amounts, even when percentages are similar to conforming loans.
• Large cash reserve requirements: Jumbo loans require borrowers to have more cash on hand after closing, which can limit liquidity for even the wealthiest borrowers.

Is a jumbo loan right for me?

A jumbo loan may make sense if the home you want to buy exceeds Arizona’s conforming loan limits. Deciding whether it’s the right fit often comes down to your comfort level and long-term financial goals.

• Monthly payment comfort: Choose a payment that fits your lifestyle and leaves room for other priorities.
• Interest rates and loan structure: Fixed and adjustable rates, as well as different loan terms, can affect your payment over time. Take a look at current mortgage rates in Arizona to see what type of mortgage fits your budget.
• Closing costs: While percentages are similar to conforming loans, higher loan amounts usually mean higher total costs, including closing costs.
• Tax considerations: Mortgage interest deductions may change at higher loan balances. A tax professional can help you understand the full picture.

The bottom line: A jumbo loan could be a smart option for Arizona home buyers

Jumbo loans come with higher expectations around credit, income, and reserves, but they also open the door to homes that better match your needs and long-term plans. With the right preparation and loan structure, a jumbo mortgage can be a helpful tool as you navigate Arizona’s housing market.

If you’re ready to explore your options, applying for a Jumbo Smart loan could be your next step.

This article is for informational purposes only and is not intended to provide financial, investment, or tax advice. You should consult a qualified financial or tax professional before making decisions regarding your retirement funds or mortgage.

Refinancing may increase finance charges over the life of the loan.

Rocket Mortgage is a VA-approved lender, not endorsed or sponsored by the Dept. of Veterans Affairs or any government agency.