Fannie Mae-No Politics (FNMA)

[navycmdr]

FHA Unveils New Loan Limits for 2018

By George Brooks ... [e-mail]



The FHA late this week announced new loan limits for 2018, with most areas of the country looking at higher ceilings next year. The higher mortgage amounts are effective for FHA case numbers assigned on or after Jan. 1, 2018.

The FHA ceiling will rise to $679,650 from $636,150 and the floor will increase to $294,515 from $275,665. The floor is set at 65 percent of the national conforming loan limit of $453,100, which applies to areas where 115 percent of the median home price is less than the floor limit.

Any areas where the loan limit exceeds the “floor” are deemed high-cost. Federal law requires FHA to set its maximum loan-limit ceiling for high-cost areas at 150 percent of the national conforming limit.

In addition, the national mortgage limit for Home Equity Conversion Mortgage loans will increase to $679,650 from $636,150. FHA regulations currently do not allow HECM loan limits to vary by metropolitan statistical area or county.