On Wednesday, December 2, 2020, the Federal Housing Administration (FHA) announced increases to the FHA Single Family loan limits for 2021. In high-cost areas of the country, FHA’s loan limit ceiling will increase to $822,375 from $765,600. FHA will also increase its floor to $356,362 from $331,760. The maximum loan limits for FHA forward mortgages will rise in 3,108 counties. In 125 counties, FHA’s loan limits will remain unchanged. For Alaska, Hawaii, Guam, and the Virgin Islands the ceiling will be $1,233,550. These limits go into effect on Jan 1, 2021.
If you wish to appeal a limit decision regarding your area, you can submit to Answers@HUD.gov with the subject line of 2021 Loan Limits Appeal no later than January 1, 2021. Requests for a change will only be considered for counties for which HUD does not already have home sales transaction data for the calculation of mortgage limits. Any changes in area loan limits because of valid appeals will be in effect retroactively for case numbers assigned on or after January 1, 2021.