Loan limits have increased, so you can get more with less down.
I recently sat down with Dave Ratti of the Ratti Lending Team at Envoye Mortgage to talk about the exciting news regarding loan limit changes. Here’s the scoop on the big news:
Effective immediately, conventional loan limits have increased from $647,000 to $726,200. That means that buyers can now purchase a home up to $765,000 with just 5% down, using conventional financing. Previously, that same buyer would have to look into jumbo money, which typically has a larger down payment, the terms weren’t as good, and the underwriting was more restrictive. This change applies to the Baltimore Metropolitan Statistical Area, which includes Anne Arundel, Howard, Baltimore, and Harford counties to name a few.
“These loan limit increases are a huge advantage for buyers.”
The FHA limits for these same markets have increased to $632,500. That means people can buy homes for $655,000 and still have just 3.5% down. Our friends in the Washington statistical areas of Prince George’s County, Calvert County, and Montgomery County will also see those loan limits go up to an amazing $1,089,000 with 5% down. We’ve seen some pricing go up in the last couple of years, but now buyers can get into these homes that are priced higher while still saving money. This is a huge advantage for buyers moving forward.
If you have any questions regarding loan limits and how they can affect you, or if you’d like to get pre-qualified with those new loan limits, reach out to David by phone or email. If you have any real estate questions, I’m always here to help. Contact me at (443) 308-4918 or Andrea@TDGMoves.com. I look forward to hearing from you!