Page 25 - JanuaryBuilderBrief
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Fannie-Freddie to Raise


           Conforming Loan Limits in 2017



              The Federal Housing Finance Agency (FHFA)
            today announced that the maximum baseline
            conforming loan limit for mortgage loans         Logo Design Based off Fonts: Michroma and Montserrat
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            acquired by Fannie Mae and Freddie Mac in 2017
            will increase to $424,100 from $417,000.  This will be
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            the first increase in the conforming loan limit since
             Do NOT change any part of the logo, icon, typography or color. Recreating or altering the logo in any way is unacceptable.
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            it was raised to $417,000 in 2006.
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              The Housing and Economic Recovery Act of
             Do NOT add a shadow, outline or distort the logo in any way.  median home value exceeds the baseline loan
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            2008 (HERA) established $417,000 as the baseline      limit, the maximum area loan limit will be higher.
            loan limit and mandated that after a period of        The new ceiling loan limit in high-cost markets will
            price declines, the baseline loan limit would not be   be $636,150 (150% of the $424,100) for single-family
            permitted to rise until home prices had returned to   Reverse Versions
                                                                  properties. The previous ceiling was $625,500.
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            pre-decline levels.                                     Special  statutory  provisions  establish  different
              The loan limit will rise 1.7% in 2017 because FHFA   loan limit calculations for Alaska, Hawaii, Guam
            has determined that the average U.S. home value       and  the  U.S.  Virgin  Islands.  In  these  areas,  the
            in the third quarter of this year increased 1.7%      baseline loan limit will be $636,150 for single-family
            above its level in the third quarter of 2007.         properties, but actual loan limits may be higher in
              Higher loan limits will be in effect in higher-cost   some specific locations.
            areas as well. In areas where 115% of the local                                           NAHB DEC 2017

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                                                                      We are Centricity, (formerly Bonded Builders
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                                                                                   Linda Strickel
                                                                                   Regional Sales Manager for Central Texas
             Greyscale Version                                                     lstrickel@centricity.com
                                                                                   DIRECT  800.749.0381 x4732
                                                                                   MOBILE  512-797-4500


                                                                      Visit us at centricity.com.
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                                       JANUARY 2018  |  GREATER SAN ANTONIO BUILDERS ASSOCIATION                   25
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