The Federal Housing Administration (FHA) today announced the agency’s new schedule of loan limits for calendar year 2021 for its Single Family Title II forward and Home Equity Conversion (reverse) Mortgage insurance programs. The increase is up 7.4% from last year. In high-cost areas of the country, FHA’s loan limit ceiling will increase to $822,375 from $765,600. FHA will also increase its floor to $356,362 from $331,760. Additionally, the FHA-insured Home Equity Conversion Mortgage (HECM) maximum claim amount (HECM limits) for reverse mortgages will increase to $822,375 from $765,600.

What does this mean? More homebuying power for Americans. Prospective homeowners can now qualify for more home.

FHA has traditionally been a powerful product for first-time homebuyers – If you know anyone looking to purchase their first home, I would love the opportunity to help them with a comprehensive plan for homeownership.