New Loan Limits!

New Loan Limits!

Loan limits for Fannie Mae and Freddie Mac increase to $510,400 in 2020, an increase from $484,350 in 2019!

There has been an update provided by The Federal Housing Finance Agency. The agency has announced the Fannie Mae and Freddie Mac conforming loan limits for mortgages for 2020.

Each year, the baseline conforming loan limit is adjusted accordingly with the change in the average U.S. home price. House prices during the third quarters of 2018 and 2019 have increased by 5.38 percent on average, therefore, The Federal Housing Finance Agency is increasing 2020’s maximum limit by the same percentage.

It will be higher than the $510,400 baseline limit in certain areas where median home values were higher.

There are different calculations for Alaska, Hawaii, Guam, and the U.S. Virgin Islands. The baseline limit in these areas will be $765,600.

Click here for a map of 2020 loan limits by area!

If you are interested in learning more, contact one of our loan officers for information today!

 

 

Related Posts

Understanding Your Mortgage Options: Fixed-Rate and Adjustable-Rate Mortgages
Understanding Your Mortgage Options: Fixed-Rate and Adjustable-Rate Mortgages

As a prospective homebuyer in today’s market, it’s important to have awareness of the different types of mortgages available in order to determine which is right for you. One particularly important distinction to understand is the difference between fixed-rate mortgages and adjustable-rate mortgages (ARMs). In this article, we’ll explore both of these mortgage options and […]

July 31, 2023
Full Post
Mortgage Market Insights: Inflation, GDP, and Rate Expectations
Mortgage Market Insights: Inflation, GDP, and Rate Expectations

After a dynamic week in the market, we thought it would be helpful to share some key highlights. Let’s dive into the recent events and their impact on inflation, GDP growth, and interest rate expectations. GDP Surprise Yesterday, there was a significant selloff following the release of the Q1 GDP report. Gross Domestic Product (GDP) […]

June 30, 2023
Full Post
The Federal Reserve Increases Federal Funds Rate – Here’s Why It Matters!
The Federal Reserve Increases Federal Funds Rate – Here’s Why It Matters!

The Federal Reserve’s latest meeting just wrapped up, so what are the key takeaways for you? This afternoon, the Federal Reserve increased the Federal Funds Rate by .25%. It’s critical to understand that when you might see headlines about the Fed increasing their target rates, it usually doesn’t directly impact the mortgage rate you’re able […]

February 01, 2023
Full Post

Connect With Us