Delaware Conventional Loan Limits 2020
Delaware Conventional Loan Limits for 2020 are increasing!! The Conventional conforming loan limit is being raised for 2020 as announced by the Federal Housing Finance Agency (FHFA) on November 26, 2019. The new loan limits will go into effect for loans delivered January 1, 2020 and after. Loan Limits for one-unit property mortgages sold to Fannie Mae and Freddie Mac will increase nationwide from $483,350 in 2019 to $510,400 in 2020. If you are looking to get more information or would like to apply to get pre-approved for a mortgage loan give John Thomas a call at 302-703-0727 or APPLY ONLINE
Delaware Conventional Loan Limits 2020 by County
The Delaware Conforming Loan Limits for 2020 by County are shown in the table Below:
FHFA Announces Conforming Loan Limits increasing
The Federal Housing Finance Agency (FHFA) must abide by the Housing & Economic Recovery Act (HERA) which requires that the baseline conforming loan limit be adjusted each year for Fannie Mae & Freddie Mac to reflect the change in the average U.S. home price. The average home price has increased over the last 4 quarters. Home prices increased an average of 5.38 percent between third quarter of 2018 compared to third quarter of 2019. This means FHFA must increase the conventional conforming loan limit for 2020 by 5.38% which is why the loan limit is increasing from $484,350 to $510,400.
What About Loan Limits in High Cost Areas?
High Cost Areas will have higher loan limits as determined by HERA. For areas in which 115 percent of the local median home value exceeds the baseline conforming loan limit, the maximum loan limit will be higher than the baseline loan limit of $510,400. The loan limit in high cost areas is a multiple of the area median home value but is capped at 150 percent of the baseline loan amount of $510,400 which is termed the ceiling. The new ceiling loan limit for one unit properties in most high cost areas is $735,600 for 2020.
How do I Apply for a Conventional Loan?
If you are interested in applying for a Delaware Conventional Loan for purchase or refinance then call the John Thomas Team with Primary Residential Mortgage at 302-703-0727 or APPLY ONLINE