2023 Loan Updates That Completely Change the Game

Dec 30

The details of the 2023 Federal home loan changes and how that affects you

What are the changes?

The U.S. Federal Housing Finance Agency (FHFA) recently announced a significant increase in the conforming loan limit for one-unit properties, raising it from $548,250 to an all-time high of $765,600 for 2023. This change represents a 2.8% increase over last year’s limit.

Ok, so what is a confirming loan? It’s a regular purchase loan with loan fees MUCH less than a Jumbo loan.

What was happening before this change was that a family wanting to buy a home above roughly 550k had to have their loan qualified as a Jumbo loan, which adds extra fees upfront out of pocket and long-term over the life of the loan.

What does this mean for me and my family?

Incredible news it what it means!

The primary benefit is that larger loans with lower interest rates and better terms become available to those who may not have qualified before due income limitations or other factors.

This makes it easier for families and individuals to purchase their dream home or refinance their mortgage with better financial savings than before.

In addition, when homeowners are able to qualify for larger loans with lower interest rates, it will also help them in the long run by saving money over time, which you know I absolutely LOVE.

In a nutshell, these new changes are extremely helpful for consumers as it opens up more opportunities and helps them achieve their end goal of owning a home with greater ease and savings!