As you know, the Federal Government has officially increased the FHA limit for single-family residences to $729,750. This means that lenders can now make loans up to this amount with the security of knowing that FHA will insure them, should the loan default. While not all property types are eligible for FHA-insured financing, we are hopeful that this new legislation will be advantageous for many of our clients.
There are still a number of key factors that must be decided upon before banks can start to extend credit under the new threshold. These include changes to underwriting guidelines and pricing adjustments. The information released by our network of lenders has been limited, but we do anticipate the following:
Increased loan ceilings will present expanded options for consumers planning to purchase or refinance their home.
The greatest benefits will be seen by our clients who purchase or own property in Brooklyn, Queens, Long Island, and other areas outside of Manhattan.
Please note that the information contained herein pertains only to FHA-insured mortgages.
Our Operations Staff has been in constant contact with our entire pool of lenders as they determine their best course of action. We will continue to disseminate new information to you as it becomes available. Rest assured that we are working diligently to keep you informed with the most up-to-date status so you can better prepare your clients to move forward in this dynamic market.
There are still a number of key factors that must be decided upon before banks can start to extend credit under the new threshold. These include changes to underwriting guidelines and pricing adjustments. The information released by our network of lenders has been limited, but we do anticipate the following:
Increased loan ceilings will present expanded options for consumers planning to purchase or refinance their home.
The greatest benefits will be seen by our clients who purchase or own property in Brooklyn, Queens, Long Island, and other areas outside of Manhattan.
Please note that the information contained herein pertains only to FHA-insured mortgages.
Our Operations Staff has been in constant contact with our entire pool of lenders as they determine their best course of action. We will continue to disseminate new information to you as it becomes available. Rest assured that we are working diligently to keep you informed with the most up-to-date status so you can better prepare your clients to move forward in this dynamic market.
Your Preferred Empire Mortgage Team
No comments:
Post a Comment