The Federal Housing Finance Agency (FHFA) announced that the 2026 baseline conforming loan limit for one-unit properties will increase to $832,750 in most areas of the United States. This represents a 3.25% increase ($26,250) from the 2025 limit. The increase allows higher borrowing limits for conventional loans backed by Fannie Mae and Freddie Mac, aligning with rising home prices.

2026 Conventional Loan Limits - Key Details:

• Baseline Limit (1 Unit): $832,750

• High-Cost Area Limit (1 Unit): $1,249,125 (150% of the baseline limit)

• Multi-Unit Properties: Higher limits apply. For example, the limit for a two-unit property in most areas is $1,066,250.

• Alaska, Hawaii, Guam, and the U.S. Virgin Islands: Higher limits apply due to increased construction and housing costs in these areas.

These new limits apply to mortgages delivered to Fannie Mae or Freddie Mac and are effective for loans originated in 2026. High-cost area limits are determined on a county-by-county basis.

Typically an FHA loan is one of the easiest types of mortgage loans to qualify for because it requires a low down payment and you can have less-than-perfect credit. An FHA down payment of 3.5% is required. Borrowers who cannot afford a traditional down payment of 20% or can’t get approved for private mortgage insurance should look into FHA loans.

• Fixed Rates
• Adjustable Rate Mortgage (ARM)
• 3.5% Down Payments
• Jumbo & Super Jumbo Loans
• Terms from 5 to 30 Years