As I expected when Fannie Mae announced their new loan limits for 2016, FHA has followed suit. With rising home prices in Colorado, FHA 2016 loan limits for Denver and Colorado will increase for the second straight year. Proving once again, what we all know to be true is in play. Our beautiful state is becoming more expensive to live in.
What does this mean? Well, if you are looking to buy a home, you can now get higher loan amounts for these homes in the Denver metro area. Here are some sample counties in Colorado and the FHA 2016 loan limits for Denver and some Colorado counties.
- Denver, Jefferson, Douglas, Arapahoe, Broomfield, Adams County
- 1-Unit- $458,850, 2-Unit- $587,400, 3-Unit-$710,050, 4-Unit-$882,400
- Boulder County:
- 1-Unit- $474,950, 2-Unit- $608,000, 3-Unit-$734,950, 4-Unit-$913,350
- Eagle, Routt, Summit County:
- 1-Unit- $625,500, 2-Unit- $800,775, 3-Unit-$967,950, 4-Unit-$1,202,925
- El Paso County-
- 1-Unit- $271,050, 2-Unit- $347,000, 3-Unit-$419,425, 4-Unit-$521,250
There are advantages and drawbacks for this change. One advantage is you can qualify for more home, if you can afford it. The drawback may be that lenders could layer a rate adjustment to the going national rates, since the Denver area is considered high cost.
Make sure you talk to your lender, if you are looking to FHA mortgages and determine if you qualify. If you would like to apply online, feel free to do that by going here
Ray Williams, @MtgMaestro