King, Pierce & Snohomish Counties FHA and Conventional Loan limits INCREASE

It is official. DC finally picked "the number" that will "save the world" here in the pacific northwest however when you thought it would give the lower tiered jumbo loans a pricing break because of it well think again!

In the past anything over the conforming $417,000 limit kicked in the higher jumbo pricing matrix so the lifting of the limit may just be another superficial little exercise for the politicians on both sides of the isle allowing them cover to proclaim...."look what we did!". We will see. The new SFR loan limit will be $567,500.

In addition to the pricing disappointment of course the secondary market as I understand it may tighten some underwriting standards however time will tell and frankly at least here in the northwest it probably will not be that bad.

FHA is the bright spot. The pricing and underwriting will be less affected so perhaps what was the lower tiered Jumbo market now will be financing FHA....Go figure. The single family loan limit for FHA is now $567,500.

I am disappointed but on the other hand the market place is trudging forward and purchases continue to land on my desk. Even though I am being a bit of a "sour puss" there will be some silver lining to this and with the way information is presented by the media I thought I would provide some factual data before you hear their spin of it.