On November 26, the FHFA announced the conforming loan limit values for 2025, increasing the baseline limit. See here for a map of the conforming loan limit values. For one-unit properties, the new limit is $806,500 — a 5.2 percent rise from 2024’s limit. This adjustment reflected a 5.21 percent increase in the average U.S. home price over the past year, as mandated by the Housing and Economic Recovery Act. In high-cost areas the limit is higher, and the new ceiling loan limit for one-unit properties in high-cost areas is $1,209,750 (150 percent of the baseline limit). These changes result in an increase in the conforming loan limit for all but six U.S. counties.

Similarly, HUD announced new loan limits for the FHA’s Single Family Title II forward and Home Equity Conversion Mortgages (HECM) for 2025, with increases due to continued home price appreciation. The maximum loan limits for one-unit properties will rise to $524,225 (the “floor”) in low-cost areas and $1,209,750 (the “ceiling”) in high-cost areas. The floor and ceiling maximum loan limits will also rise for two-, three- and four-unit properties. In special exception areas such as Alaska, Hawaii, Guam and the U.S. Virgin Islands, the ceiling for one-unit properties will be $1,814,625, to account for higher construction costs. The HECM maximum claim amount (applicable to all areas) will increase to $1,209,750.