Conforming Loan Limits

On January 1st, conforming loan limits were raised for the year. This is a huge industry update that will allow USA Mortgage loan officers to help even more families and individuals throughout the year.

January 4, 2019

On January 1st, conforming loan limits were raised for the year. This is a huge industry update that will allow USA Mortgage loan officers to help even more families and individuals throughout the year.

What is conforming loan limit?
- Conforming loan limit is the limit on the size of a mortgage that Fannie Mae and Freddie Mac will purchase and/or guarantee. The conforming loan limit is set annually by Fannie Mae's and Freddie Mac's federal regulator, the Office of Federal Housing Enterprise Oversight (OFHEO). OFHEO uses the October-to-October percentage increase/decrease in the average house price in the monthly interest rate survey of the Federal Housing Finance Board (FHFB) to adjust the conforming loan limits for the subsequent year.

New conforming loan limits:
- Rising from $453,100 to $484,350 for one-unit properties.
- This means the pool of potential conforming properties is growing by almost 7 percent.

General Loan Limits for one-unit properties:
- Contiguous states, District of Columbia, and Puerto Rico: $484,350
- Alaska, Guam, Hawaii, and U.S. Virgin Islands: $726,525

General Loan Limits for two-unit properties:
- Contiguous states, District of Columbia, and Puerto Rico: $602,200
- Alaska, Guam, Hawaii, and U.S. Virgin Islands: $930,300

General Loan Limits for three-unit properties:
- Contiguous states, District of Columbia, and Puerto Rico: $749,650
- Alaska, Guam, Hawaii, and U.S. Virgin Islands: $1,124,475

General Loan Limits for four-unit properties:
- Contiguous states, District of Columbia, and Puerto Rico: $931,600
- Alaska, Guam, Hawaii, and U.S. Virgin Islands: $1,397,400

Please reach out if you’re interested in taking advantage of this change!