Conforming Loan Limits Increase for 2020
Great news announced this week, especially for first-time home buyers in high-cost areas like New Jersey.
The single family Conventional loan limit will increase from $484,350 to $510,400, and the high-balance limit to $765,600! That essentially means a New Jersey first-time buyer can purchase a home up to about $526,000 with only 3% down, and a $805,800 home with only 5% down… and still take advantage of low conforming interest rates!
The new limits are effective as of January 1, 2020. The Federal Housing Administration (FHA) and the VA are expected to adopt the same loan limits for 2020…more good news for home buyers!
Note that the new higher loan limit is also available for move-up buyers as well with 5% down.
Looking to purchase a home in 2020? – Make sure you are well qualified and positioned to compete successfully with our Approval First program – a full underwriting approval in advance of your offer to show the sellers you are serious buyer that can close in 30 days.