Probably Boulder County FHA loan limits Are Higher This Year
You know, I say probably, because the first move by the new administration was to cut out an important FHA mortgage insurance premium that would have most benefited entry level home buyers. And when you consider that the new rates make entry level single family homes in Boulder attainable, that change was a big deal. For a quick debrief of FHA Mortgages, follow this link to an informative blog post by Inflanta Mortgage.
Most Places Around Country See a Lower 7,100 Increase
Most of the USA only saw limits increase a few thousand dollars. Boulder County lending limits increase quite a good deal, reflecting the cost of home ownership in our community. For a single family residence, you can now borrow up to $529,000 for an FHA loan. This is a significant improvement.
And yet, when you consider that the ‘average’ Boulder home is trending over $1,000,000 these days, it is still significantly below the average amount of funds needed.
FHA Will Put Pressure On Bottom Of Housing Market
IMHO, although the Boulder county FHA loan limits increase is designed to help, it will really only add fuel to the Seller’s Market we are witnessing. Why is that? The new higher lending limit means more buyers can qualify for housing. More buyers means more competition for the ever shrinking inventory of available real estate.
In 2017, be ready to compete!
Denver FHA Limits Not Quite So Generous
The cost of buying outside of Boulder County is not quite so high, thus lower limits for buyers seeking FHA financing. Those seeking a single family residence mortgage in Denver, Broomfield, Jefferson, Adams and Douglas Counties can now get a loan up to $493,350. This is good news/bad news. It will place more pressure on entry level housing – adding competition for home buyers. And it will allow home buyers to get into the market with a minimal down payment at realistic home prices.
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