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.
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.