Helping Washington State homeowners learn more about their mortgage options.
Conforming loan limits for homes in King County, Snohomish County and Pierce County received a boost with the high balance conforming loan limits of $23,000 for single family dwellings.
All other counties in Washington state will have 2015 conforming loan limits.
Earlier this month, the FHFA announced the 2015 conforming loan limits for homes located in Washington state. A conforming loan is a conventional loan (ie Fannie Mae or Freddie Mac). Loan amounts that exceed the conforming loan limit are considered jumbo loans (or non-conforming) and have different underwriting guidelines and rates.
The FHFA increased the loan limits in three counties (King, Pierce and Snohomish) effective 2015. All other counties will have the same loan limits as 2014.
2015 Conforming Loan Limits for Homes Located in Washington State
I just received notice from FHFA that overall, 2015 loan limits will remain the same for most counties except for a few counties with higher loan limits. In Washington state, the counties with higher loan limits in 2015 are King County, Snohomish County and Pierce County.
2015 Conforming Loan Limits for King, Snohomish and Pierce Counties:
All other counties in Washington state have the same loan limits as 2014.
Stay tuned for announcements on FHA and VA loan limits for 2015.
UPDATE: DECEMBER 23, 2013: Incoming Director of the FHFA, Mel Watts has announced that he will delay the increase to conforming price adjustments (aka LLPA or guarantee fees).
This week Fannie Mae revealed conforming price adjustments (LLPA) which will increase the cost for mortgage rates in 2014. This complied with the Fed beginning to pull back on their bond buying program will certainly cause mortgage rates to trend higher.
Edward DeMarco, Acting Director of the FHFA, pretty much confirmed that we can anticipate lower conforming loan limits next year. This is from his prepared remarks for “Getting Our House in Order”:
There’s been a lot of recent chatter about the possibility of conforming loan limits being reduced in 2014 that home buyers in the greater Seattle area and home owners should be aware of.
Reuters reports that Denise Dunckel, a spokes person for the FHFA recently stated “a gradual reduction in loan limits is an appropriate and effective approach to reducing taxpayer’s mortgage risk exposure”.
The Federal Housing Financing Agency (FHFA) who oversees Fannie Mae and Freddie Mac, confirmed that conforming limits for 2013 will be unchanged from 2012. This means that a single family 1-unit residence in the greater Seattle area has a conforming loan limit of $506,000. Loan amounts above conforming limits are considered “jumbo” or non-conforming.
Four counties in Washington continue to have “high balance” loan limits above the “general” loan limits:
King County, Snohomish County and Pierce County:
1 Unit: $506,000
2 Unit: $647,750
3 Unit: $783,000
4 Unit: $973,100
San Juan County:
1 Unit: $483,000
2 Unit: $618,300
3 Unit: $747,400
4 Unit: $928,850
The remaining Washington counties have “general” loan limits:
Adams, Asotin, Benton, Chelan, Clallam, Clark, Columbia, Cowlitz, Douglas, Ferry, Franklin, Garfield, Grant, Grays Harbor, Island, Jefferson, Kitsap, Kittatas, Klickitat, Lewis, Mason, Okanogan, Pacific, Pend Oreille, Skagit, Skamania, Spokane, Stevens, Thurston, Wahkiakum, Walla Walla, Whatcom, Whitman and Yakima Counties:
1 Unit: $417,000
2 Unit: $533,850
3 Unit: $645,300
4 Unit: $801,950
Congress decided to keep the 2012 Conforming Limits at the existing 2008 levels instead of reverting to the higher “temporary” limits that we’ve experienced the past couple of years**. In their infinite wisdom, Congress did restore the higher loan limits to FHA insured loans. This means that in order to not have a jumbo loan in the greater Seattle area, your loan amount will need to be $506,000 and lower for conventional or $567,500 or lower for FHA insured mortgages. I’ll be officially posting FHA insured loan limits soon.
Four counties in Washington continue to have “high balance” loan limits above the “general” loan limits:
King County, Snohomish County and Pierce County:
- 1 Unit: $506,000
- 2 Unit: $647,750
- 3 Unit: $783,000
- 4 Unit: $973,100
San Juan County:
- 1 Unit: $483,000
- 2 Unit: $618,300
- 3 Unit: $747,400
- 4 Unit: $928,850
The remaining Washington counties have “general” loan limits:
Adams, Asotin, Bention, Chelan, Clallam, Clark, Columbia, Cowlitz, Douglas, Ferry, Franklin, Garfield, Grant, Grays Harbor, Island, Jefferson, Kitsap, Kittatas, Klickitat, Lewis, Mason, Okanogan, Pacific, Pend Oreille, Skagit, Skamania, Spokane, Stevens, Thurston, Wahkiakum, Walla Walla, Whatcom, Whitman and Yakima Counties:
- 1 Unit: $417,000
- 2 Unit: $533,850
- 3 Unit: $645,300
- 4 Unit: $801,950
Loan amounts above the figures listed above are considered “jumbo” or “non-conforming”.
**NOTE: Congress DID increase loan limits in one county in Connecticut for 2012.
Rhonda Porter is a Licensed Mortgage Originator MLO121324 living in the greater Seattle area. Rhonda began her career in 1986 in the title and escrow industry and began her mortgage career in 2000. She enjoys helping people understand the mortgage process and started writing The Mortgage Porter in late 2006. Read More…
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