loading...

FHFA Loan Limits Rise by 18% for 2022 — Nearly Hitting Seven Figures in the DC Area

  • November 30th 2021

by Nena Perry-Brown

✉️ Want to forward this article? Click here.

Today, the Federal Housing Finance Agency (FHFA) announced an increase to mortgage loan limits for next year, and in the DC region those limits will approach $1 million. 

In 2022, Fannie Mae and Freddie Mac will be able to acquire mortgages of up to $647,200 for a single dwelling unit, an 18% increase from the 2021 maximum of $548,250. The nationwide mortgage loan limit has increased by $230,200 since 2016, when it rose for the first time in a decade.

Confirming recent speculation that loan limits would approach $1 million in high-priced markets, the limits in the immediate DC area will be $970,800 for a single dwelling unit. This is an increase from the $822,375 loan limit for 2021.

Government Sponsored Enterprises (GSEs) like Fannie Mae and Freddie Mac guarantee many mortgages nationwide, often at lower costs and with more favorable lending terms. However, because they are legally bound to only accept loans of a certain amount, the increased loan limits make GSE loan underwriting more accessible to a larger pool of homebuyers.

See other articles related to: conforming loan limits, fannie mae, fhfa, freddie mac, loan limits

This article originally published at https://dc.urbanturf.com/articles/blog/fhfa-loan-limits-rise-by-18-year-over-year-nearly-hitting-seven-figures-in-/19000.

DC Real Estate Guides

Short guides to navigating the DC-area real estate market

We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!