In 2026, jumbo lending in Monroe County is in an interesting spot, for strong borrowers, jumbo rates often beat conforming. Here's the full playbook for buyers financing $990K+ in the Keys.
Monroe County (all Florida Keys) is a federally designated high-cost area. The 2026 conforming limits are significantly higher than standard Florida counties, which caps at $832,750 for 1-unit. Here's the full Monroe County table:
| Unit Count | 2026 Conforming Limit | Jumbo Starts At |
|---|---|---|
| 1-Unit (SFR / Condo) | $990,150 | $990,151+ |
| 2-Unit | $1,267,600 | $1,267,601+ |
| 3-Unit | $1,532,200 | $1,532,201+ |
| 4-Unit | $1,904,150 | $1,904,151+ |
The practical implication: a primary-residence loan up to $990,150 in Key West or Islamorada is still conforming, while the same loan amount in Miami crosses into jumbo at $832,750. That's a meaningful underwriting and rate advantage for Keys buyers, take it.
Not all jumbo is the same. Here are the three most common paths I use for Florida Keys buyers above the conforming limit:
Best for: Full-doc, 720+ FICO, 20%+ down, 12 months reserves. Best pricing available for clean borrowers. Loans typically up to $3M standard, $5M+ with an exceptional file. The most competitive rate tier, when you qualify, this is the target.
Best for: Retirees and HNW buyers with brokerage wealth but limited W-2 income. Use 60 to 70% of liquid assets ÷ 360 months as qualifying income. I close these regularly in Naples and the Upper Keys, this product was built for exactly the buyer profile the Florida Keys attracts.
Best for: Non-warrantable condo, VE-zone waterfront, recent BK/foreclosure, foreign income, unusual property type. Held by the lender rather than securitized. Rate is typically 0.25 to 0.50% higher than agency jumbo, but it's often the only path for Keys deals that don't fit agency boxes. Flexibility is the product.
This surprises people. Portfolio jumbo lenders compete aggressively for high-quality, high-balance loans, they're willing to undercut the agency rate to win the borrower. Here's the general comparison:
| FICO Range | Jumbo vs. Conforming | Verdict |
|---|---|---|
| 720+ FICO | Jumbo often 0.125 to 0.375% lower | Jumbo wins for strong borrowers |
| 700 to 719 FICO | Roughly equal | Compare on fees and structure |
| Below 700 FICO | Conforming often better | Conforming wins |
The counterintuitive reality: your relationship with your bank is often NOT the best place to get a jumbo loan. Banks protect their relationship pricing; portfolio lenders compete on the numbers. Shopping matters more on jumbo than on any other loan type.
Florida Keys buyers skew older, wealthier, and often retired or semi-retired. Asset-depletion qualification was designed for exactly this profile. The math:
What counts as qualifying assets: checking, savings, CDs, brokerage accounts (60 to 70% of equity), and retirement accounts (typically 60 to 70% for under-59½ borrowers, 70 to 80% for 59½+). Stocks, bonds, mutual funds, ETFs, all count.
What doesn't count: real estate equity, business assets, restricted stock, or assets that can't be liquidated without penalty within a reasonable timeframe.
Most jumbo lenders require 6 to 12 months of total housing payment (PITI) in reserves after closing. On a real Keys deal, this number gets large. Let's run the full cash-to-close on a $2M example:
Includes $14K/yr insurance and $20K/yr taxes in PITI. Reserves required after close, not at close. Rate and costs illustrative; actual vary.
The lesson: asset-light buyers who can technically afford the payment often get tripped up on reserves. Know your full asset picture before you go under contract.
National banks rarely have the best jumbo rates. They protect the relationship and know you're not shopping. Portfolio lenders compete on numbers. Always broker-shop jumbo.
On a $2M Keys property, wind + flood can run $25,000 to $50,000/year. That's $2,000 to $4,000/month in PITI before any principal or interest. Quote insurance before you offer.
Jumbo underwriting is stricter on income than conventional. RSU vesting schedules, 1099 income, and recent job changes get scrutinized. Two years of history preferred; less may work with compensation narrative.
Non-warrantable condo status kills agency jumbos. If the property is a condo, get the HOA questionnaire reviewed before going under contract. A portfolio product is the backup; know before you commit.
Jumbo pricing moves on its own track. Agency conforming rates follow the mortgage-backed-securities market fairly closely, but portfolio jumbo lenders set their own pricing based on how badly they want balance-sheet loans that quarter. That means two things for you as a Keys buyer.
First, a jumbo lender who is hungry for high-balance loans can beat the agency rate one week and be uncompetitive the next. So the shopping window matters. When I price a jumbo file, I quote it across several portfolio and agency investors at the same moment, because a stale quote from three weeks ago tells you nothing about today's board.
Second, jumbo lock periods run longer and cost a little more to extend. On a Keys purchase where the appraisal, the condo questionnaire, and the insurance binder can each add days, I usually build in a 45 to 60 day lock rather than the 30 day lock you might use on a conforming file. Locking too short and paying to extend is a common and avoidable cost. If you want to see roughly where your loan amount lands against the 2026 line before we talk, run the numbers on the jumbo qualifier tool.
On a jumbo loan, the closing costs that scale with loan size are the ones that surprise people, and Florida has a few of its own. Two state taxes hit every financed purchase: the documentary stamp tax on the note and the intangible tax on the mortgage. In most Florida counties the note doc stamp is $0.35 per $100 of the loan, and the intangible tax is $0.20 per $100 of the loan. On a $1.6M loan, that combination alone is roughly $8,800 before you touch lender or title fees.
Deed doc stamp on the purchase price ($0.70 / $100 most counties, $0.60 / $100 in Miami-Dade) is separate and customarily paid by the seller in most of Florida. Title, lender, and prepaid items are on top of the figures above. Illustrative, actual costs vary by county and contract.
The point is not to memorize the tax code, it is to budget for the full cash picture before you write the offer. Between down payment, state taxes, title, prepaids, and post-close reserves, a $2M Keys jumbo can ask for close to $600,000 in the bank. For a full pre-offer breakdown by property type, the jumbo loan program page walks through the documentation and down-payment tiers I use.
Monroe County's 2026 high-balance conforming limit is $990,150 for a 1-unit property. Any loan above that is jumbo. The standard Florida limit is $832,750, so the Keys high-cost designation gives buyers meaningful room before crossing into jumbo territory.
For borrowers with 720+ FICO, jumbo rates are often 0.125 to 0.375% lower than conforming, because portfolio lenders compete hard for strong, high-balance files. Below 700 FICO, conforming usually wins. In the 700 to 719 range they run about even, so compare on fees and structure.
Most agency jumbo programs want 20% down on a primary home, though some clean, high-FICO files reach 10 to 15% down. Second homes and investment properties usually need 25 to 30%. On a $2M purchase, plan for $400,000 down at 20%, plus closing costs and reserves.
Agency jumbo pricing is built for 720 and up, with the best rates at 740 and 760. You can still close down to about 680 on many programs with stricter terms. Below 680, a portfolio jumbo lender is the path, usually 0.25 to 0.50% above agency pricing for the added flexibility.
Most jumbo lenders want 6 to 12 months of full PITI in reserves after closing. On a $2M Keys home near $12,500 a month, that is $75,000 to $150,000 held back after close, on top of down payment and closing costs. Know your full asset picture before going under contract.
Wind and flood on a high-value waterfront home can run $25,000 to $50,000 a year, which is $2,000 to $4,000 a month in PITI before principal or interest. Since jumbo lenders qualify you on the full payment, a high binder can shrink your borrowing power. Get a real quote before you write the offer.
Yes, through portfolio and non-QM jumbo products. Foreign national buyers finance Keys second homes with larger down payments, usually 30 to 40%, and asset-based documentation. Self-employed and 1099 borrowers can use bank-statement or asset-depletion programs instead of tax returns.
Asset depletion turns liquid assets into qualifying income. Take 60 to 70% of qualifying assets, divide by 360 months, and that is the monthly income figure. A buyer with $3M in qualifying assets can show roughly $5,000 to $5,833 a month, no W-2 income required. It fits the retired and semi-retired profile the Keys attracts.
Coastal Florida specialist closing jumbo, DSCR, and portfolio deals across the Florida Keys, Naples, Sarasota, and Palm Beach. Licensed in Florida. If the deal is complex, I probably want to look at it.
I'll come back with rate tiers, reserve requirements, and the right lender match for your file. 30 minutes.