FHA Increases Loan Limits for 2018

By December 14, 2017 Mortgage Tips

The Federal Housing Administration has announced that nearly every area of the U.S. will see FHA loan limits increase in 2018. The new loan limits will take effect for FHA case numbers assigned on or after January 1, 2018.

FHA is required by the National Housing Act, as amended by the Housing and Economic Recovery Act of 2008, to set Single Family forward loan limits at 115% of median house prices, subject to a floor and a ceiling on the limits. FHA calculates forward mortgage limits by Metropolitan Statistical Area and county.

2018 FHA Loan Limits –
Missouri Counties: St. Louis, St. Louis City, St. Charles, Franklin, Jefferson, Lincoln, and Warren.
Illinois Counties: Bond, Calhoun, Clinton, Jersey, Macoupin, Madison, Monroe, and St. Clair.
Florida County: Pasco

One-Unit Limit

Two-Unit Limit

Three-Unit Limit

Four-Unit Limit

$294,515

$377,075

$455,800

$566,425

 

In high-cost areas, the FHA’s loan limit ceiling will increase to $679,650, up from $636,150 this year. The floor will also increase from $275,665 to $294,515 in 2018. The FHA’s minimum national loan limit, or floor, is currently set at 65% of the national conforming loan limit of $453,100. This floor applies to those areas where 115% of the median home price is less than the floor limit. Any areas where the loan limit exceeds this floor is considered a high-cost area, and HERA requires FHA to set its maximum loan limit ceiling for high-cost areas at 150% of the national conforming limit.

Click here for a complete list of FHA loan limits.