During a recent teleconference with the U.S. Department of Housing and Urban
Development (HUD), NAMB learned that HUD plans to publish the new FHA loan
limits in a Mortgagee Letter to be issued during the first week of March.

HUD will publish separate lists for the FHA program and the GSEs.

Additionally, HUD will be recalculating the median home prices which are used to
calculate the loan limits.  The new loan limits will be based on 125% of the median
home price in counties across the country and will be capped at $729,750.

The floor for FHA loans will be raised from $201,060 to $271,050, and originators
can begin processing applications now for any loan that was assigned an FHA
case number after February 13th (the date the bill was enacted). 

These changes are a result of the Economic Stimulus Package signed by Pres Bush
on February 13th, and will expire after one year.

However, HUD officials participating on the teleconference indicated that more comprehensive FHA reform should be moving through Congress in the coming weeks.

If you would like to apply for a Mortgage Loan, you can APPLY ONLINE HERE, you can call John Thomas at 302-703-0727.

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