Increased Buying Power

When applying for a mortgage, there is a maximum limit to how much can be borrowed.  The amount a borrower can qualify for is based on a variety of factors that include meeting specific income and credit standards.  When considering the approval of an application, mortgage companies and banks are not just considering the perspective borrower’s financial status but are also bound by the financial limits set forth by the Federal Housing Finance Agency (FHFA).  These loan limits are called conforming loan limits.

For those who are considering a new mortgage there is great news!  The new conforming loan limits have been released for 2023 and are effective as of November 30th, 2022.  The new conforming loan limit is $726,200.  This is an increase of $79,000 from $647,200 for 2022.  

What does this mean for the consumer?  It means if you have been thinking about a new home you will have more buying power! Raising the conforming loan limit means that more loans will be in the conforming space rather than being classified as a jumbo loan which have restrictions and conditions beyond the conforming limit and in most cases have interest rates slightly higher than the conforming rate.

There are multiple loan options available to home buyers specific to your individual financial circumstances.  If you are considering buying a home and have questions about a new mortgage and the new limits, contact me today!

Brittney Campbell

Wesley Mortgage, LLC

NMLS ID #184975

(615) 491-4744
brittney.campbell@wesleymortgage.com