New Loan Limits, What This Means for You
The Federal Housing Administration (FHA) has just increased the amount of money that can be borrowed through its mortgage programs by more than $51K in most areas. In high-cost locations, the increase is even greater. New limits will take effect in 2023.
The increases will allow more borrowers to take advantage of FHA’s benefits:
Low down payment options
Lower total cash-to-close requirements with gift or seller contributions
More lenient and streamlined refinancing
Ability to combine purchase and rehab financing
In some high-cost areas, higher loan limits than conventional mortgages
Here are the specifics:
In most areas, the FHA loan limit will be $472,030, a 12% increase over 2022’s limit of $420,680.
In high-cost areas, the limit moves to $1,089,300, a 12% increase over 2022’s $970,800.
In some lower-cost areas or those with higher costs of construction, limits will vary.
If you have questions about what this change could mean for you, please reach out. And if you have friends who may benefit from the news, please pass it along. I'll be honored to help them too.
