FHA Loan Limits Set to Drop on October 1st

 

The FHA loan limits that have been in place for the last 3.5 years are going to fall on October 1 unless Congress intervenes and does something about it. A bill introduced by Johnny Isakson (GA) and Robert Menendez (NJ) would extend the current FHA levels for another year. If the bill is not passed by the end of next week, the FHA loan limits in metro-Atlanta will drop from $346,250 to $320,850 for a 1-unit property. Hopefully, Congress steps in and keeps the FHA loan limits from rising. If not, lower limits will limit the FHA program and eliminate many buyers from the market. If the loan limits are lowered, this would take effect for FHA Case #’s ordered on or after October 1. Thus, any buyers who come under contract over next two weeks who are looking for FHA loans in the $320,850 to $346,250 loan size range will need to make sure that their Loan Officer gets their FHA Case # ordered by next Friday. It does not matter that the closing is after Oct 1; the lender simply needs to order an FHA Case # for that property before the deadline.

 

September 19, 2011 by · Leave a Comment

About James

James A. Williamson is currently the Sr VP of Sales Development for Shelter Lending Services (formerly Fairfield Mortgage). James joined Shelter in 1994 and was the company's top Loan Officer in GA for 20 straight years helping over 2500 families finance their homes. James now oversees an incredible group of Loan Officers in Atlanta while further building Shelter's Atlanta business.

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