Miami Home loan, and Element Funding, direct lending mortgage bank, learned HUD announced the new mortgage loan limits. Jim Carter, loan officer, reports on the changes.
New FHA loan limits are effective for case numbers assigned on or after January 1, 2014 through December 31, 2014 as discussed in Mortgagee Letter 2013-43.
Streamline Refinance Mortgages: Streamline refinance transactions without an appraisal are not subject to the limits established by Section 203(b)(2) of the National Housing Act.
The minimum FHA national loan limit “floor” is at 65 percent of the national conforming loan limit (which is $417,000 for a one unit property for the period January 1, 2014 through December 31, 2014). The “floor” applies to those areas where 115 percent of the median home price is less than 65 percent of the national conforming loan limit
The maximum FHA national loan limit “ceiling” is at 150 percent of the national conforming loan limit. In areas where 115 percent of the median home price (of the highest cost county) exceeds 150 percent of the conforming loan limit, the FHA loan limits remain at 150 percent of the conforming loan limit.
FHA loan limits for all other areas, where 115 percent of the median home price for the area is between the “floor” and “ceiling,” the loan limit shall be set at 115 percent of the median home price as determined by HUD.
Loan limits are determined by the county in which a property is located, except for properties located in metropolitan statistical areas as defined by the Office of Management and Budget. The limits in these areas are set using the county with the highest median price within the metropolitan statistical area.
• If you are unsure if a county is within one of the metropolitan (or micropolitan) statistical areas listed in the attachments, check the FHA mortgage limits internet site before closing the mortgage at a revised limit (https://entp.hud.gov/idapp/html/hicostlook.cfm). • For a complete list of all metropolitan counties in the country by MSA, view the most recent OMB bulletin updating statistical area definitions and guidance at http://www.whitehouse.gov/omb/bulletins/index.html.
All this to say, the FHA loan limits have decreased for the S. Florida area. The new limits for Miami, Ft.Lauderdale, and, West Palm Beach are:
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And the new limits for Monroe County are:
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All the other counties are included in the attached PDF file.
So, if you or, anyone you know, is looking to find a Miami Home Loan, or a South Florida Home Loan, to purchase their own new property, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami Home Mortgage expert!