The Federal Housing Finance Agency, the regulator for the government-sponsored enterprises including Fannie Mae and Freddie Mac, announced the maximum conforming loan limits for 2016. For most of the country, the conforming loan limit will remain the same at $417,000 for one-unit single family homes.
In addition, there are 234 counties throughout the US that have a higher maximum loan limit based on that market’s higher home prices, also known has high cost counties. The highest 2016 conforming loan limit for single family homes is Honolulu, Hawaii at $721,050. The average maximum loan limit for all of the high cost markets is $557,845.
Compared with 2015, there were 39 counties that had an increase in the maximum loan limits located in California, Colorado, Massachusetts, New Hampshire, Tennessee and Washington.
For clients with loan amounts above the conforming limit, Northpointe Bank has expanded its jumbo products to allow loan amounts up to $3 million with as little as 15% down and no mortgage insurance! Combined with Northpointe Bank’s low rates, home buyers have more purchasing power and qualify for more house.
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3333 Deposit Dr. NE Grand Rapids, MI 49546
*Jumbo interest rate as of December 9, 2015. Annual Percentage Rate is based on an owner-occupied single family residence with a 30-year amortization, loan amount of $550,000, credit score of 780, down payment of 25% with tax and insurance escrows. Loans amortized over 30 years would require 360 monthly principal and interest payments of $2,547.14. Payments do not include taxes and insurance, actual payment amount will be greater. Base APR is quoted and may vary depending on individual credit history and transaction. All loans are subject to credit review and approval. Rates subject to change without notice.