New updates for conventional mortgages! In November, the new conforming loan limits are announced. We have increased our conforming loan limit to $750,000 for one unit homes starting now! So if you are buying a home over $750,000, you can use conforming programs to make it easier to buy! The current limit is $726,200.
The second big update is for 2-4 unit homes! If you are looking to purchase a rental property and live in it, you can put as little as 5% down starting November 18th. Right now a duplex requires at least 15% down and a 3 or 4 unit home requires 25% down! You need to owner occupy the home when you buy it, so plan on moving in! But this allows you to have renters in the other units to offset part of your mortgage payment! One of the biggest problems for those wanting a multiple unit home is the down payment, this will help with that! You will need mortgage insurance if you put less than 20% down.
Another tidbit starting November 18th is the ability to use self employment income if you have less than 2 years history. Fannie is updating their guidelines to allow for self employed borrowers if you have at least a 12 month history on tax returns on a case by case basis.
These are some of the updates coming for mortgages. The big one is available now and that is the $750,000 conforming limit! Once we know the exact amount in November, this number will get adjusted.
If you are starting to think about buying a new home, please reach out and let’s see what options you have!
Leslie Vanderwerf, NMLS ID#335509, CrossCountry Mortgage LLC, An Equal Housing Lender, NMLS#3029 – Email – Website
