The Federal Housing Finance Agency, which oversees Fannie Mae ™, and Freddie Mac(tm), has announced the conforming mortgage loan limits in 2022. In the five states that we lend, Minnesota, Wisconsin and Iowa offer conventional mortgages to homebuyers to buy a single-unit home up to $647,000. California and other high-cost states will have higher limits. There will also be higher limits for duplex, triplex and 4-unit properties. 2022 conforming loan limits
This represents a $98,950 increase from $548,250 2021. It is the largest annual increase in loans that are eligible for purchase by Fannie Mae or Freddie Mac.
What does this mean?
A jumbo mortgage product is required for a mortgage loan exceeding this amount 후순위담보대출. Jumbo loans have higher credit requirements, larger down payments and different interest rates. This increase in loan limits allows more borrowers to enjoy the benefits of a traditional home loan. These benefits include:
- Options for low down payments
- Credit score requirements are less stringent
- Flexible choice between an adjustable-rate and fixed-rate mortgage
- You have the opportunity to get rid of mortgage insurance by paying 20%
Cambria Mortgage professionals are available to help you find a home in the next year. Call (651) 552-3681 or click here for more information about our loan applications and appointment options.
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Green says that the fees consumers pay now are 50 basis points. They used to be approximately 11-13 basis points. One basis point is equal to one-tenth of one percent. So 100 basis points equals one percentage point increase in interest rates. He believes they could rise to 70 to 75 basis point in the next year.
Qualified-mortgage rules limit borrowers to a debt to income ratio of at least 43 percent. This means that borrowers may not be eligible for loans if they have higher mortgage rates or higher fees.
Zugheri claims that the new regulations and increased expectations of compliance with rules set by Fannie Mae/Freddie Mac are affecting some borrowers more than others. This includes consumers with low- or moderate incomes.
Zugheri states that if you have poor credit or if your income is not clearly defined, if your assets are difficult to verify, or a home that is worth less than its value, it will be hard for you to get credit.
Doug Benner, vice-president and sales manager at 1st Portfolio Lending, Rockville, said that the strict line of requiring a minimum debt-to-income ratio (43%) will make it more difficult for self-employed borrowers with trouble documenting their income.
Benner states that it is difficult to obtain a loan if you don’t have proof of income (a W-2), but data shows that more people are self-employed and contract workers, so they should be eligible for loans.
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