Congress Fast Tracking FHA Loan Limits for 2010
According to FHA Loan Pros, the American Recovery and Reinvestment Act without the legislation would be reverted FHA loan limits back to $417,000. That would have eliminated millions of FHA borrowers, but fortunately Congress was able to include the higher FHA loan limits into their 2010 budget. FHA lending would have been scarce in many of the high-income, high-cost metro areas. Certainly prohibiting a portion of the country to utilize FHA home financing is the last thing a struggling residential real estate market needs for recovery.
If this Congressional budget is approved, the single-family loan limit will remain $729,750 for high-cost areas in the lower 48 states and as much as $1,094,625 in Alaska, Hawaii, Guam and the Virgin Islands.
