Congress extends Fannie and Freddie conforming loan limits for Boston thru 2010
On October 29, 2009, the House and Senate passed legislation to extend
the current conforming loan limits for FHA and Freddie Mac and Fannie Mae (the
government sponsored enterprises, or GSEs, that back much of the mortgage market in the U.S.) through
December 31, 2010. These loan limits, set at 125% of local area median home price and
capped at $729,750, would have expired on December 31, 2009 in which
case loan limits would have been reduced in many markets.
It's certainly welcome news for high cost areas like us
here in Boston.
So for all of 2010, the conforming loan limits will remain at $523,750 for single families and condos the Boston area (where they have been for much of 2009). For the conforming loan limits for each county in the U.S., see this spreadsheet.
Any loan above that amount
is subject to jumbo loan rates which can be 1-2% higher in many
cases. Increasing the limit allows borrowers to obtain lower rates for loan amounts below $523,750, a more reasonable limit for areas with
high prices like we have in the Boston real estate market.
Here are the 2010 conforming loan limits by county in Eastern Massachusetts for single family homes, condos, and 2 to 4 unit multifamily homes:
Boston-Cambridge-Quincy, MA-NH (Metro Area) Component Counties (MA): Essex, Middlesex, Norfolk, Plymouth, Suffolk
1 Unit: $523,750
2 Unit: $670,500
3 Unit: $810,450
4 Unit: $1,007,200
Providence-New Bedford-F. River, RI-MA (Metro Area) Component Counties (MA): Bristol
1 Unit: $475,000
2 Unit: $608,100
3 Unit: $735,050
4 Unit: $913,450
Duke's County
1 Unit: $729,750
2 Unit: $934,200
3 Unit: $1,129,250
4 Unit: $1,403,400
Nantucket County
1 Unit: $729,750
2 Unit: $934,200
3 Unit: $1,129,250
4 Unit: $1,403,400
If you have any questions, don't hesistate to contact me or comment below!