With this year’s rise, the loan limit has increased for the fourth year in a row after ten years of stagnation between 2006-2016. Despite no movement in the ten year period prior, the loan limit has risen $93,400 since 2016.
In 2016, the FHFA increased the conforming loan limits from $417,000 to $424,100. Then, the following year, the FHFA increased the loan limits from $424,100 to $453,100 starting in 2018. The year after that, the FHFA increased the loan limit from $453,100 to $484,350 for 2019. Mortgages originated in 2020 will have a limit of $510,400. Year-over-year this marks the 3rd highest raise since 2016.
2016-2017: 1.70% increase ; 2017-2018: 6.84% increase ; 2018-2019: 6.90% increase ; 2019-2020: 5.38% increase
