Mortgage Limits to Fall Unless Congress Acts

Origination News reports that unless Congress changes its mind before Oct. 1, mortgages insured by the Federal Housing Administration (FHA) will be more affected by the pending change in loan limits than those securitized by Fannie Mae and Freddie Mac.  The FHA says 669 of the 3,334 counties will likely see loan limits on government-insured mortgages fall when the levels return to the parameters set under the Housing and Economic Recovery Act (HERA) of 2008.  The Federal Housing Finance Agency (FHFA) said earlier only 250 counties will be affected by the change in limits for loans under Fannie and Freddie.  Eight states in the east and west, and the District of Columbia, would see the loan limits fall by more than five percent.


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