The Federal Housing Finance Agency (FHFA) has just announced that the conforming loan limits will be increased to $510,400 for a one-unit home beginning January 1, 2020. That is a 5.38% increase from the current loan limit of $484,350. Note that the 2-4 unit limits have increased as well, and now range from $653,550 to $981,700. This announcement marks the third year in a row we have seen substantial increases in these loan limits.
The increase opens up a significant segment of the market to the more flexible conforming guidelines vs. jumbo loans. That means lower down payments, more relaxed income, credit, and asset requirement; easier appraisals (or even appraisal waivers in some cases); and faster processing times to closing.
Check out Homeownership Opportunities Website Northwest to learn about lending programs>>