With all this talk about proposed legislation dealing with HVCC and the first time homebuyer credit, is anyone even noticing that we are in serious danger of having our maximum FHA and conforming conventional loan amounts reduced?? If you remember, it was the American Recovery and Reinvestment Act of 2009 (ARRA) that was signed into law on February 17, 2009 allowing our FHA loans to be increased to 125% of local area median costs and increased FNMA, Freddie maximums to $417,000. These increased maximums are due to expire December 31, 2009.
So, if you have a conventional preapproval letter for $417,000 you better get those buyers under contract. And pay attention to the FHA amounts which are established by county. I know it's a couple of months off, but just don't get caught off guard!
Views and opinions expressed on this site are not necessarily those of WR Starkey Mortgage.
Ruth Vogt, Branch Manager
Colorado LMB #LMB100023827
Boy that would be a huge hit if they significantly lowered the loan amounts. Tough enough as it is now.
Since this post was originally posted one short month ago, we already have GOOD NEWS. Maximum limits will remain throughout 2010 as currently in place. For more info click Conventional Conforming Loan Limits