Delaware FHA Loan Limits for 2014
Delaware FHA Loan Limits for 2014 will be going Lower for FHA case numbers assigned on or after January 1, 2014. FHA mortgage maximum loan amounts vary by states and by regions based on the median home price in that region. Currently, FHA loan limits range from $271,050 up to $729,750.
Effect January 1, 2014, FHA is reducing the maximum loan amount from $729,750 to $625,500 and reducing maximum loan limits in most regions. The lowest maximum loan limit will remain at $271,050. The FHA loan limits in Delaware are being reduced in all three counties of Delaware as follows:
FHA Backed about one-third of all purchase loans in 2013 and now is looking to not provide loans to the high-end real estate market anymore. The higher loan limits were on a temporary extension authorized by Congress but this extension expires December 31, 2013, so without Congress passing legislation, the higher loan limits are expiring.
The big surprise is FHA has decided to change how it calculates the maximum loan limit and that is why loan limits are changing in most regions even if not at the high end of the real estate market such as Kent, New Castle, & Sussex County Delaware. The current calculation uses 125% of the median home price for the region. January 1, 2013, FHA is changing the calculation to only 115% of the median home price so that is why maximum loan limit is going down in all three counties. Everyone expects the rollback in high-cost area loan limits but nobody was expecting the drop from 125% to 115% of the median home price as this affects almost all regions.
Call 302-703-0727 to schedule a mortgage consultation to get pre-approved for an FHA mortgage to purchase a home. Call us or e-mail us now to get more information or you can APPLY ONLINE
John R. Thomas – NMLS 38783
Certified Mortgage Planner – Primary Residential Mortgage, Inc.
302-703-0727 DE Office / 610-906-3109 PA Office / 410-412-3319 MD Office
248 E Chestnut Hill Rd, Newark, DE 19713