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2011 Loan Limits
Friday, December 17, 2010
High-Balance Loan Feature – Temporary Loan Limits Are in Effect Through Sept. 30, 2011
The high-cost area loan limits effective for loans originated in 2010 have been extended to apply to loans originated through September 30, 2011. Loans originated on or after October 1, 2011, will use the "permanent" high-cost area loan limits.
First Mortgage Conforming Loan Limits
The Federal Housing Finance Agency (FHFA) publishes the conforming loan limits annually that apply to all conventional mortgages that are delivered to Fannie Mae, including both the general loan limits and the high-cost area loan limits. High-cost area loan limits vary by geographic location.
The general loan limits for 2011 remain unchanged from 2010 (e.g., $417,000 for a 1-unit property in the continental U.S.).
Maximum Original Principal Balance for 2011
Units Contiguous States, District of Columbia, and Puerto Rico Alaska, Guam, Hawaii, and the U.S. Virgin Islands
1 $417,000 $625,500
2 $533,850 $800,775
3 $645,300 $967,950
4 $801,950 $1,202,925
FHFA publishes the loan limits on its Web site and Fannie Mae provides tools for determining applicable loan limits.
High-Cost Area Loan Limits for 2011
For loans originated on or before September 30, 2011, the "temporary" high-cost area loan limits will apply and will be the same as the 2010 high-cost area loan limits. Loans originated on or after October 1, 2011, will use the "permanent" high-cost area loan limits established by FHFA under a formula of 115% of the 2010 median home price, up to a maximum of $625,500 for a 1-unit property in the continental U.S.
During the weekend of December 11, 2010, the 2011 loan limits will be incorporated in Desktop Underwriter® (DU®) Version 8.1 and DU Version 8.2 and applied based on property address.
Note that the loan limits apply based on the original loan amount, rather than the unpaid principal balance (UPB).
High-Balance Loan Feature
For loans using the high-cost area loan limits, Fannie Mae offers the high-balance loan feature. Specific eligibility and other details for the high-balance loan feature are included in the Selling Guide and the High-Balance Loan Feature matrix.
High-Balance Loan Feature matrix
Resources
Loan Limits by Area
Listings of loan limits by area, as determined by FHFA, are provided below. The spreadsheet provides drop-down menus to allow sorting and viewing by county, state, or MSA.
Loan Limit Geocoder
Use the Loan Limit Geocoder™ to find loan limit information for specific addresses – enter a single address or a batch file.
Because high-cost area limits remain unchanged for the immediate term, lenders should feel confident in continuing to use the 2010 tools for the time being. We will update these resources for 2011 as soon as practicable in early 2011.
For more details, read our Lender Letter and the FHFA News Release.
Lender Letter LL-2010-13
FHFA News Release
FHFA Web Site
FHFA Conforming Loan Limit Lists
For More Information
For historical loan limit information, please consult our historical Fannie Mae loan limits.
Historical Fannie Mae Loan Limits
Posted by Michelle at 12:14:32