2021 Loan Limits

Conforming, FHA, VA, & HECM Loan Limits

Loan Limits are set each year by the Federal Housing Finance Agency (FHFA). Limits vary based on location and property size. Read on for a complete overview and drill-down for location specifics.

There are 4 types of loan limits: Conforming, FHA, VA, and HECM. These limits apply in different scenarios based on the type of loan you get.

Conforming limits are set at 115% of the median single-family home price in a county or metro area. Additionally, there is a baseline and a ceiling which loan limits may not exceed.

Beginning on January 1, 2021, the baseline loan limit for a single-family home is $548,250. This is an average 6.9% increase over the 2020 rate which was set at $510,400. (See loan limit history)

Average Loan Limits by State

The map below shows average loan limits in each state. Click on the map to see a detailed breakdown by county.

Minimum Loan Limit
Maximum Loan Limit

States & Overseas Territories (56)

Loan Limit Summary Tables

2021 Conforming Loan Limits *
Property Size Minimum Loan Limits Maximum Loan Limits
Single-Family $548,250 $822,375
Duplex $702,000 $1,053,000
Triplex $848,500 $1,272,750
Quadplex $1,054,500 $1,581,750

* Conforming Loan Limits may also be called "conventional," Fannie/Freddie, or Government Sponsored Enterprise (GSE) Loan Limits.

2021 FHA Loan Limits
Property Size Minimum Loan Limits Maximum Loan Limits
Single-Family $356,362 $822,375
Duplex $456,275 $1,053,000
Triplex $551,500 $1,272,750
Quadplex $685,400 $1,581,750

Minimum FHA Loan Limits are 65% of the Conforming Loan Limits.

2021 VA Loan Limits
Property Size Loan Limit
All Home Sizes $548,250

As of 2020, VA Loan Limits only apply to people more than one active VA loan.

2021 HECM Reverse Mortgage Loan Limits
Property Size Loan Limit
All Home Sizes $822,375

Always Up-to-Date

This page will be updated each year to show the latest available Loan Limits.

Breaking Down Loan Limits

Conforming loans are mortgages that meet the guidelines established by Fannie Mae and Freddie Mac. Fannie and Freddie are Government Sponsored Enterprises (GSE) that buy mortgages from primary lenders. Fannie and Freddie buy so many mortgages that their guidelines have become the industry standard.

The Fannie/Freddie guidelines include loan limits, minimum credit score, minimum down-payment, and income requirements.

FHA Loan Limits

If you are unable meet the requirements for a conventional mortgage you may consider an FHA loan. FHA Loans allow home buyers to get a mortgage with as little as 3.5% down. FHA Loan Limits are set a 65% of Fannie/Freddie Loan Limits.

FHA loans are a type of mortgage insurance. The FHA agrees to insure a mortgage in case of default. Because of the added protection, lenders will issue mortgages with better rates and lower down-payment requirements. However, the the home-buyers must pay monthly Mortgage Insurance Premiums (MIPs) on top of their mortgage.

VA Loan Limits

If you quality, VA loans are a great way to buy a home. VA loans are only available to those who have served in the US military.

With VA Loans, the Veterans Administration guarantees your mortgage to the lender. VA Loans are not mortgage insurance like FHA loans.

The benefits of a VA Loan include:

  • No down payment required in most cases
  • No monthly Mortgage Insurance Premiums (MIPs) like FHA loans
  • Lower income and credit requirements
  • Lower interest rates
  • Lower closing costs

The VA Loan Limit is equal to the GSA Loan Limit baseline for single-family homes. For 2021, the VA Loan Limit is $548,250.

There has never been hard limits on how much you can borrow with a VA loan—only a limit on how much the VA will guarantee. However, starting in 2020, the VA Loan Limits will only apply to those with more than one active VA loan.

This means veterans can get no-down payment, VA-backed loan regardless of home price. However, you'll still need sufficient income and meet lender's credit score requirements.

Jumbo Loans

Loans that exceed the established conforming loan limits are called "jumbo" loans. Jumbo loans are widely available, but you still must meet other requirements such as credit score and income. In addition, a large down-payment may be required.

HECM Reverse Mortgages

Home Equity Conversion Mortgages (HECM) are type of reverse mortgage. HECM reverse mortgages allow seniors to turn home equity into cash. Money from HECM mortgages can be used for things like medical bills, home repairs, or other unexpected expenses.

The HECM mortgage cap is set equal to the GSE Loan Limit ceiling for single-family homes. For 2021, the HECM Loan Limit is $822,375.

How are Loan Limits Established?

The Federal Housing Finance Agency (FHFA) establishes conforming loan limits each year. The FHFA determines average home prices across the country. When the average home price increase, baseline conforming loan limits increase by an equal percent. New rates go into effect each January.

Loan Limit Calculations

The maximum loan limit, or ceiling, is set at 150% of the baseline loan limits. The FHA Loan Limits set at 65% of the Conforming Loan Limits.

To determine the loan limit in a particular area, the FHFA looks at median home prices in the county or metro area. Conforming loan limits are set to 115% of the median home price for a single-family home. However, loan limits cannot exceed the maximum limit or go below the baseline.

Low-Cost, Mid-Range, & High Cost Areas

By law, the loan limits in Alaska, Hawaii, Guam, and the U.S. Virgin Islands are automatically set the the maximum regardless of median home price.

If the loan limits in an area are equal to the baseline limits, the county is considered a standard or Low-Cost area. If limits in an area equal the maximum limits, then it is called a High-Cost area. If the limits fall between the baseline and ceiling, then it is a Mid-Range area.

Loan Limit History (2009 - 2021)

The graph shows minimum and maximum conforming loan limits for a single-family home in each year since 2009. FHA Loan Limits are 65% of the conforming loan limit so the trend is the same.

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Data Source

HUD Seal

FHA Loan limits are published by the HUD. Conforming loan limits are published by Federal Housing Finance Agency (FHFA).

Last updated on January 2, 2021