FHFA Limits Up 7.4% in 2021
The Federal Housing Association announced that purchase limits for popular federally backed mortgages like FHA loans will increase by 7.4% (11/24/2020). In most of the US, this means the maximum conforming loan limit for single-family homes will increase from $510,400 in 2020 to $548,250 in 2021. In some high-cost areas the baseline loan limit will be as high as $822,375.
FHFA conforming loans are known for their lower down payments and interest rates. Combine these benefits with record-low market rates and many homebuyers will be able to afford a lot more home for their money.
Rates Fall Again!
Record rates were announced by Freddie Mac Nov 19th based on their Primary Mortgage Market Survey. They indicated that weaker consumer spending drove rates down to a new record low (11/19/2020).
Image and survey data taken from Freddie Mac’s website posted 11/19/2020. Visit http://www.freddiemac.com/pmms/ for more details and disclosures of their Primary Mortgage Market Survey.