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The FHA loan limits for 2024 allow homebuyers to borrow up to $498,257 for a single-family home in most parts of the country. Those purchasing a home in an area designated as “high-cost” may be able to borrow up to $1,149,825.

FHA loan limits spell out the maximum amount you can borrow using a mortgage backed by the Federal Housing Administration (FHA). Read on to learn how to find the limits in your county, as well as how they’re determined and what they mean for you.

Number of unitsLowest loan limitHighest loan limitSpecial exception areas: Alaska, Hawaii, Guam and the Virgin Islands
1$498,257$1,149,825$1,724,725
2$637,950$1,472,250$2,208,375
3$771,125$1,779,525$2,669,275
4$958,350$2,211,600$3,317,400

Limits on FHA loans are based on the type of property you’re purchasing and the county or Metropolitan Statistical Area (MSA) it’s located in. To find the exact limits for your area, use the FHA mortgage limits finder tool on the FHA website. The closer you live to an expensive city, the higher the loan limits are likely to be.

HECM loan limits

Home equity conversion mortgages (HECMs), more commonly known as reverse mortgages, come with their own FHA loan limits. In 2024, qualified seniors can borrow up to $1,149,825 from an FHA-approved lender.

See Current FHA Loan Rates

How are FHA loan limits determined?

FHA loan limits are set according to the terms of the National Housing Act, and are calculated as a percentage of the conforming loan limit amounts set each year for conventional loans by the Federal Housing Finance Agency (FHFA). (Conventional loans are also called conforming loans because they “conform” to rules set by Fannie Mae and Freddie Mac.)

The lowest FHA loan limit across the U.S., also known as the “floor,” is 65% of the 2024 conforming loan limit of $766,550. That comes to $498,257 for a one-unit home and applies to most counties across the country.

The FHA loan maximum, sometimes called the “ceiling,” comes into play in high-cost areas and is calculated as 150% of the conforming loan limit. For 2024, that means the maximum amount you can borrow is $1,149,825 in high-cost areas. The only way to get a larger loan is to purchase outside the continental United States in one of the special exception areas: Alaska, Hawaii, Guam or the Virgin Islands.

An FHA-approved lender will review your loan application to see if you meet the minimum mortgage requirements for an FHA loan, which are more flexible than the guidelines for conventional loans.

  • Credit score and down payment. You’ll need a 580 credit score to make the minimum 3.5% down payment. Lenders may approve scores as low as 500 with a 10% down payment.
  • Income and employment history. A two-year stable employment and income history is the standard requirement for an FHA loan.
  • DTI ratio. Lenders use the total debt you carry divided by your before-tax income to calculate your debt-to-income (DTI) ratio. Most lenders prefer a 43% maximum, but exceptions are possible.
  • Occupancy. Homes financed by FHA loans must be primary residences.
  • Home appraisal. FHA appraisers assess your home’s value and whether it meets strict safety and habitability requirements outlined in FHA appraisal guidelines.

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FHA Loan Limits for 2024 | LendingTree (2024)

FAQs

FHA Loan Limits for 2024 | LendingTree? ›

The FHA loan limits for 2024 allow homebuyers to borrow up to $498,257 for a single-family home in most parts of the country. Those purchasing a home in an area designated as “high-cost” may be able to borrow up to $1,149,825.

Will FHA limits go up in 2024? ›

Will 2024 FHA Loan Limits Increase? Because FHA sets limits at 65% of conventional limits, FHA loan limits for a 1-unit property in a standard area increased from $472,030 in 2023 to $498,257 in 2024. Loan limits increased for 2-4 unit properties and homes in high-cost areas as well.

What are the income requirements for FHA loans in 2024? ›

There are no income limits or requirements with FHA loans, but lenders will want to see a steady employment history so expect to provide two years' worth of pay stubs and W-2s, as well as employer contact information.

What is the upfront MIP for FHA loans in 2024? ›

The upfront MIP is 1.75% of the loan amount, though this can be rolled into the loan. If, for example, you are borrowing $200,000, the UFMIP will be $3,500. The cost of annual mortgage insurance premiums was recently reduced. Borrowers with down payments under 5%, and with loans less than $726,200, were paying 0.85%.

What is the maximum you can borrow on an FHA loan? ›

The FHA establishes loan limits annually based on the median home prices in metro areas and counties. The maximum loan amount is 115% of the area's median home price, subject to a national floor and ceiling. In 2024, the national floor is $498,257, and the national ceiling is $1,149,825.

What will the FHA rates be in 2024? ›

30-Year Fixed Rate FHA Mortgage Index (OBMMIFHA30YF)
2024-05-23:6.787
2024-05-22:6.752
2024-05-21:6.700
2024-05-20:6.743
2024-05-17:6.732
1 more row

What is the mortgage limit for 2024? ›

The national conforming loan limit for 2024 for a one-unit property is $766,550. FHA's 2024 minimum national loan limit floor of $498,257 for a one-unit property is set at 65 percent of the national conforming loan limit.

What is the FHA 3 year rule? ›

FHA mortgage insurance for HUD-approved lenders. Eligible Activities: The property must contain at least 5 residential units with complete kitchens and baths and have been completed or substantially rehabilitated for at least 3 years prior to the date of the application for mortgage insurance.

What will disqualify you from an FHA loan? ›

The three primary factors that can disqualify you from getting an FHA loan are a high debt-to-income ratio, poor credit, or lack of funds to cover the required down payment, monthly mortgage payments or closing costs.

Can you make too much money for an FHA loan? ›

FHA loans do NOT have the same type of income limitation that USDA loans have. Simply put, you can't make “too much” or have “too high” of an income. You have to make enough to qualify of course, but there is no such thing as making too much for an FHA Loan.

What will mortgage rates be by end of 2024? ›

The 30-year fixed mortgage rate is expected to fall to the mid-6% range through the end of 2024, potentially dipping into high-5% territory by the end of 2025. Here's where mortgage interest rates are headed for the rest of the year and how that will impact the housing market as a whole.

Does FHA MIP ever go away? ›

If you got an FHA loan after June 3, 2013, then your MIP will go away after 11 years of on-time payments, provided you put at least 10% down. If you put less than 10% down, you'll pay MIP until the loan is paid in full or refinance into another mortgage loan type, such as a conventional loan.

How to avoid FHA mortgage insurance? ›

Still, you can avoid FHA mortgage insurance by: Putting down 20 percent – This is the simplest way to avoid FHA mortgage insurance — but if you have the savings to put down 20 percent, it might make more sense to work on your credit score to qualify for a conventional loan instead.

Will FHA loan limits go up in 2024? ›

The maximum amount you can borrow on an FHA loan has just been raised by The Federal Housing Administration (FHA) to $498,257 in most areas for 2024. This means more people can take advantage of FHA loan programs with lower down payments, lower cash-to-close options, the ability to combine purchase, rehab, and more!

What is the downside of an FHA loan? ›

FHA loans require borrowers to pay mortgage insurance premiums (MIPs) at closing and throughout the life of the loan. Specifically, you'll pay 1.75% of the loan amount at closing as your upfront MIP. Then, you'll pay MIPs of 0.15% to 0.75% of the loan amount every year.

What happens if I put 20% down on an FHA loan? ›

The federal government insures FHA loans, but the loans are issued by private lenders. Mortgage insurance is required on all FHA loans, even if you put 20% down, but the amount and duration vary. The home must undergo an FHA appraisal and meet government standards for health and safety.

What will the mortgage rates be in 2024 and 2025? ›

In its April Mortgage Finance Forecast, the Mortgage Bankers Association predicts that mortgage rates will fall from 6.8% in the first quarter of 2024 to 6.4% by the fourth quarter. The industry group expects rates will fall below the 6% threshold in the fourth quarter of 2025.

Do FHA loan limits increase every year? ›

Every year, the FHA reviews the limits and updates them if needed based on the changes in market conditions.

What is the FHA loan limit for 2024 in Maricopa County? ›

Effective January 1, 2024 FHA Max loan limit in Maricopa County, Arizona is $530,150 (for single family 1 unit homes). This is up from FHA's 2022 cap of $441,600 however the amount remained the same as 2023. FHA Max Loan limits remained the same again for Maricopa County Arizona.

What is the Fannie Mae loan limit for 2024? ›

$766,550

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