The Federal Housing Administration (FHA) has just increased the amount of money that can be borrowed through its mortgage programs by more than $524,000 in most areas. In high-cost locations, the increase is even greater. New limits will take effect January 1, 2025.
This news could make a big difference for homebuyers!
The increases will allow more borrowers to take advantage of FHA’s benefits:
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Lower total cash-to-close requirements with gift or seller contributions
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More lenient and streamlined refinancing
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Ability to combine purchase and rehab financing
Here are the specifics:
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In most areas, the FHA loan limit will be $524,225, a 5.2% increase over 2024's limit.
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In most high-cost areas, the limit moves to $1,209,750.
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In some lower-cost areas or those with higher construction costs, limits will vary.
Questions About The New 2025 FHA Loan Limit Update?
If you have questions about what this change could mean for you, please reach out at 888-616-9885 or click here to contact us.
And if you have friends who may benefit from the news, please pass it along. We would be honored to help them too.
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