Jumbo Loans in San Diego (2026) — What to Expect
On loans above $1.2M in San Diego, you're in jumbo territory. Here's how rates, FICO, and reserves work differently — plus the high-balance trick most buyers miss.
In San Diego County (coastal CA designation), the 2026 conforming loan limit is $1,209,750. Above that, you're in jumbo territory — different underwriting, often different rates, and meaningfully different reserve requirements.
Jumbo vs high-balance conventional
Many San Diego buyers don't realize there's a middle option:
- Below $806,500 — standard conforming
- $806,500 – $1,209,750 — high-balance conforming (better priced than jumbo)
- Above $1,209,750 — jumbo
If your loan is between $806,500 and $1.2M, USE high-balance conforming, not jumbo. The rate is typically 0.25-0.50% better.
Jumbo underwriting essentials
- FICO — Most jumbo programs want 700+. Best pricing at 740+. Below 700 you're into non-QM jumbo (significantly worse).
- Down payment — Typically 10-20% min depending on loan size. Above $2M, expect 25-30%.
- DTI — Capped at 43% for most jumbo, vs 50% on conforming.
- Reserves — 6-12 months of PITI in liquid assets AFTER closing. This is the big differentiator from conforming.
- Appraisal — Two appraisals required above $1.5M on most jumbo programs.
When jumbo pricing is competitive
Some lenders price jumbo BELOW conforming when:
- They want jumbo borrowers for cross-sell (wealth management)
- You have a high-asset profile (paying for relationship pricing)
- Specific quarter-end pricing pushes
A good broker watches 8-12 jumbo investors weekly and knows when this happens. Don't lock without comparing.
Reserve requirements — the surprise
Most San Diego jumbo buyers are surprised by the reserves rule. On a $1.5M loan with $8k PITI, 12 months reserves = $96k in liquid funds (checking, savings, brokerage — retirement is discounted 30%).
Plan for this before you write the offer.
Looking at a jumbo purchase or refi in San Diego? Quote it free or book a 30-min consult.