Mortgage Limits Have NOT Changed (Yet)

The conforming loan limit is set by the Federal Housing Finance Agency (FHFA). Mortgages under that amount generally have the lowest effective rates, and in some cases are easier to qualify for.
With prices appreciating rapidly in the past year, a big increase in the loan limit would be big news.  Prospective buyers would be able to widen their price range in many cases and homeowners whose loans exceed the previous loan limit might be able to refinance to  a lower rate.
It shouldn’t come as much of a surprise, then, that word has quickly spread about the earlier than normal increase of the conforming loan limit from $548,250 to $625,000.
There’s just one problem: nothing has changed yet!  The conforming loan limit is still $548,250 and it will continue to be $548,250 until November 30th at the very earliest.  
So why have people been talking about $625k?…(read more)Forward this article via email:  Send a copy of this story to someone you know that may want to read it.
Source: mortgagenewsdaily.comNew feed