FHFA Announces Conforming Loan Limit Values for 2024

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FHFA Announces Conforming Loan Limit Values for 2024​

Baseline Conforming Loan Limit Value Will Increase to $766,550​

11/28/2023
Washington, D.C. – The Federal Housing Finance Agency (FHFA) today announced the conforming loan limit values (CLLs) for mortgages Fannie Mae and Freddie Mac (the Enterprises) will acquire in 2024. In most of the United States, the 2024 CLL value for one-unit properties will be $766,550, an increase of $40,350 from 2023.
National Baseline
The Housing and Economic Recovery Act (HERA) requires FHFA to adjust the Enterprises’ baseline CLL value each year to reflect the change in the average U.S. home price. Earlier today, FHFA published its third quarter 2023 FHFA House Price Index® (FHFA HPI) report, which includes statistics for the increase in the average U.S. home value over the last four quarters. According to the nominal, seasonally adjusted, expanded-data FHFA HPI, house prices increased 5.56 percent, on average, between the third quarters of 2022 and 2023. Therefore, the baseline CLL in 2024 will increase by the same percentage.
High-Cost Areas
For areas in which 115 percent of the local median home value exceeds the baseline conforming loan limit value, the applicable loan limit will be higher than the baseline loan limit. HERA establishes the high-cost area limit in those areas as a multiple of the area median home value, while setting the ceiling at 150 percent of the baseline limit. Median home values generally increased in high-cost areas in 2023, which increased their CLL values. The new ceiling loan limit for one-unit properties will be $1,149,825, which is 150 percent of $766,550.
Special statutory provisions establish different loan limits for Alaska, Hawaii, Guam, and the U.S. Virgin Islands. In these areas, the baseline loan limits will be $1,149,825 for one-unit properties.
Due to rising home values, the CLL values will be higher in all but five U.S. counties or county equivalents.

Tony Nguyen | NMLS#93776
Vision Quest Lending | 2860 Michelle Drive, Suite 140, Irvine, CA 92606
Direct 714-464-8042 | 877-318-0992 x6502 | Fax 866-394-9352
Email | tony@vqlending.com
Website | www.visionquestlending.com

 

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FIPS State Code	FIPS County Code	County Name	State	CBSA Number	One-Unit	Two-Unit	Three-Unit	Four-Unit
Limit	Limit	Limit	Limit
6​	37​	LOS ANGELES COUNTY	CA	31080​	$1,149,825​	$1,472,250​	$1,779,525​	$2,211,600​
6​	59​	ORANGE COUNTY	CA	31080​	$1,149,825​	$1,472,250​	$1,779,525​	$2,211,600​
6​	65​	RIVERSIDE COUNTY	CA	40140​	$766,550​	$981,500​	$1,186,350​	$1,474,400​
6​	67​	SACRAMENTO COUNTY	CA	40900​	$766,550​	$981,500​	$1,186,350​	$1,474,400​
6​	71​	SAN BERNARDINO COUNTY	CA	40140​	$766,550​	$981,500​	$1,186,350​	$1,474,400​
6​	73​	SAN DIEGO COUNTY	CA	41740​	$1,006,250​	$1,288,200​	$1,557,150​	$1,935,150​
6​	75​	SAN FRANCISCO COUNTY	CA	41860​	$1,149,825​	$1,472,250​	$1,779,525​	$2,211,600​

 

[irvinehomeowner]

$1.115m is only 80% of about $1.4m.

Does Irvine even have new detached homes starting at $1.4m?

 

[CalBears96]

$1.115m is only 80% of about $1.4m.

Does Irvine even have new detached homes starting at $1.4m?

Maybe GP? Even Arbor (detached, but condos) start at $1.735M.

 

[Liar Loan]

$1.115m is only 80% of about $1.4m.

Does Irvine even have new detached homes starting at $1.4m?

Higher risk mortgages get to pay the higher rates.

 

[sgip]

Per Redfin, there are 220 listed for sale homes in OC priced from $1.25M to $1.43M. Buyers of these homes putting 20% down will have to accept High Balance (Agency) loan rates versus Portfolio Jumbo loan rates (usually .75 to 1 percent less than Agency). Homes in these price ranges will need to adjust pricing or offer incentives to overcome that 1% rate differential, unless there are more folks with big down payments at the door.

There are 12 homes in Irvine listed for sale between $1.45M and 1.55M. They will need to put less than 25% down to avoid being forced to take Agency products.

BofA is at 6.75% jumbo 20% down (subject to FICO, relationship benefits, etc.). Their Agency Jumbo is currently priced at 7.875% with 20% down. I'm using BAC only because their site is easy to use for reasonably accurate market rate data. As always YMMV.