Lender Letter LL-2016-05 confirms the general and high-cost area loan limits announced by the Federal Housing Finance Agency (FHFA).
· The new base loan limit in most of the country will be $424,100 and all but 87 counties (or county equivalents) will see a loan limit increase.
· This represents a 1.7% increase over the 2016 limit.
· The ceiling limit in most of the country will be 150% or $636,150.
Detailed information and updated resources, including the Loan Limit Look-Up Table, are available on the Loan Limits page.
The updated loan limits will be implemented in Desktop Underwriter® (DU®) the weekend of December 10, 2016. DU Version 9.3 or Version 10.0 loan casefiles submitted to DU after December 10, will be underwritten with the 2017 general loan limits and must be delivered to Fannie Mae after January 1, 2017. Please note: lenders are responsible for determining loan amount eligibility for delivery. For best practices on committing or pooling loans that fall between the old and new loan limits, call the Capital Markets Sales Desk at 800-752-0257.
The following Fannie Mae applications and tools will be updated as of January 1, 2017 to reflect the 2017 loan limits: Loan Delivery, EarlyCheck™, and Pricing & Execution – Whole Loan®.
TMC - Chief Operating Officer