The Federal Housing Financing Agency has increased the maximum base conforming loan limit and high-cost area loan limits. In most of the U.S., the 2021 maximum standard conforming loan limit for one-unit properties will be $548,250. This is the fifth year in a row the Federal Housing Financing Agency has increased conforming loan limits.
Buyers looking to purchase a home in 2021 can now borrow up to nearly $550,000 from a lender, granting more borrowers access to conventional loans. In some cases, this also permits lower rates.
Homeowners whose loans were once categorized as “jumbo,” or above the conforming loan limit, can now refinance to a lower rate conforming loan and possibly eliminate mortgage insurance.
“The new conforming loan limit increase means the housing market is healthy. This should instill confidence in potential buyers that now is a great time to buy a home,” says FBC Mortgage co-CEO Joe Nunziata. “The change is not only great for our industry, but it also means we can put more borrowers in more homes and help customers reach their goal of homeownership in 2021.”
Coastal Loans programs will align with the new conforming loan limit starting in 2021.
If owning a home is the next step for you, visit our Mortgage Resources Page to learn more, or contact one of our mortgage professionals today. We’re here to help you get started.
Why Coastal Loans?
At Coastal Loans we work directly with Holiday Builders to streamline your homebuying process. As your dedicated mortgage lender, we are able to simplify the lines of communication with your home purchase team, resulting in industry leading turn times. Our competitive rates and extensive loan product options allow us more opportunities to help our clients secure their dream home.
Buying a home is one of the most important financial decisions you will make. Understanding mortgages and the home buying process can help make it less stressful, and so can partnering with a mortgage lender you can trust. At Coastal Loans, we’re dedicated to helping home buyers finance their dream home. All information presented is for educational purposes only and not intended as financial advice.
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