In effect, this may make the FHA the go-to financing option for borrowers needing loans up to $729,750 — with down payments as low as 3.5 percent — in high-cost areas of California, the Washington region, New York and New Jersey, and in scattered counties in other states including Massachusetts, Florida and North Carolina. Fannie Mae- and Freddie Mac-eligible loans in those areas, meanwhile, stay capped at $625,500.
Equally important, the new plan raises the FHA ceilings for purchasers in hundreds of more moderately priced markets. Seattle area buyers’ maximum FHA loan amount jumped to $567,500, while the Fannie Mae-Freddie Mac ceiling remains at $506,000. In Hartford, Conn., the limit for FHA is now $440,000 — up from $320,850; Fannie and Freddie remain capped at $417,000.
Green Real Estate Appraiser 