Conforming Loan Limits Changed for First Time Since 2006

[Jesse Hinaman]

In case BP members aren't aware, the Federal Housing and Finance Agency (FHFA) increased the conforming loan limit nationally for Jan 1, 2017. First time they have increased limits since 2006. In high cost areas like Southern California, Bay Area, and many parts of surrounding Sacramento / El Dorado / Placer area this is huge news. Price points that once required applying for a JUMBO loan (JUMBO typically has higher rates and much stricter qualification requirements), can now use FHA or Conventional conforming financing to purchase.

Check out your State and County limits here:

Conforming Loan Limits by State and County

Other big news, FHA just announced today a reduction in the Mortage Insurance premium that goes into effect on January 27th. This is great news for new investors (or old) looking to purchase a primary residence or 2-4 unit multi-family and living in one unit.