RTC Mortgage Blog

Condo, Jumbo & Conforming Limit Updates

December 6th, 2015 11:47 AM by Richard T. Cirelli

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FHA Relaxes Condo Restrictions
Realtors, Homebuyers and Lenders got a welcomed piece of news recently with HUD's commitment to fix FHA's condo policies and broaden opportunities for families to find a home The Federal Housing Administration (FHA) is making immediate changes to its condominium rules to ease its owner-occupancy and recertification requirements for condominiums.

The immediate changes are:  Click Here
 to read more...

Jumbo Loans Nearing Record High Share of Originations
Jumbo mortgages accounted for 20.9 percent of 2nd Quarter 2015 originations, continuing an upward trend line the sector has been on since 2009 and nearing its highest share ever, according to the trade publication “Inside Mortgage Finance”.

Not only are jumbo loans much more prevalent now, but many Fixed and Adjustable programs and lenders continue to emerge as this sector of the market continues to recover. I expect this trend to continue in 2016.

2016 Conforming Loan Limit Changes Announced:
The maximum conforming loan limits for mortgages to be acquired by Fannie Mae and Freddie Mac in 2016 will increase in just four counties. Despite some earlier predictions that the loan limits would rise for 2016, the conforming loan limits will remain unchanged for much of the country because FHFA has determined that the average U.S. home value in the third quarter of this year remained below
its level in the third quarter of 2007.

For most of the country, the Fannie Mae and Freddie Mac loan limit will remain at $417,000 for one-unit properties (or single-family homes) in 2016. Certain High-priced markets have limits up to a maximum of $625,500. In 39 “high-cost” counties in the U.S. the conforming loan limit will be increased for 2016.

Click Here to read more, including California specific information...

Posted in:General
Posted by Richard T. Cirelli on December 6th, 2015 11:47 AM

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