NEW LIMITS IN EFFECT FOR 2016!
FannieMae and FreddieMac have updated the high-cost loan limits for 2016 per the Federal Housing Finance Agency. The loan limits remain at $417,000 for Contiguous States, District of Columbia, and Puerto Rico; and at $625,500 in Alaska, Guam, Hawaii, and the U.S. Virgin Islands. These loan limits apply to one-unit conventional loan products with the exception of certain high cost areas designated in California, Colorado, Massachusetts, Tennessee, and Washington. FannieMae reported an increase in thirty nine counties with some of the areas being "newly assigned". There are no exceptions for any Oregon counties however three counties in Washington State welcome increased loan limits by $23,000 to $540,500 (one-unit) in King, Pierce, and Snohomish Counties.
As with Fannie and Freddie, VA loan limits continue to follow FHFA guidelines. County loan limits have a direct impact on the Veteran's entitlement benefit and guarantee amount and does not apply to IRRRL’s (Interest Rate Reduction Refinance Loan).
FHA loan limits were updated on December 9th... Quite a few increases here and no areas saw a decrease in the maximum mortgage amount.
USDA does not set loan limits however the maximum income allowed for each area will dictate "maximum loan amounts". As debt thresholds and underwriting variables come into play there is not a hard and fast limit for this program... a common misconception.
Keep in mind there are many financing options a side by side comparison will guide you in choosing the right home loan based on your individual needs and goals. If you would like more information or to apply for any of these loan products contact me today!