2026 Conforming and FHA Loan Limits Jump 3.26%

The Federal Housing Finance Agency (FHFA) has announced the new conforming loan limits for 2026 on residential mortgages acquired by Fannie Mae and Freddie Mac. These higher limits reflect continued home price appreciation over the past year.

The new baseline loan limit for one-unit properties will be $832,750, representing a $26,250 increase over 2025.

In high-cost areas such as Hawaii and Alaska—where 115% of the local median home value exceeds the baseline—loan limits are adjusted higher. For 2026, the maximum loan limit in these areas will be $1,249,125, or 150% of the baseline limit.

FHFA 2026 Limits

Number of Units	Baseline Limits	High-Cost Area Limits
One	$832,750	$1,249,125
Two	$1,066,250	$1,599,375
Three	$1,288,800	$1,933,200
Four	$1,601,750	$2,402,625

FHA 2026 Limits

Number of Units	Low-Cost Area “Floor”	High-Cost Area “Ceiling”	Alaska, Hawaii, Guam, and U.S. Virgin Islands “Ceiling”
One	$541,287	$1,249,125	$1,873,625
Two	$693,050	$1,599,375	2,399,050
Three	$838,700	$1,933,200	$2,899,800
Four	$1,042,125	$2,402,625	$3,603,925

By law, both FHFA and FHA adjust loan limits annually to reflect changes in U.S. home prices. For 2026, conforming loan limits increased by 3.26%, based on the FHFA House Price Index, which measures the average change in home values between the third quarters of 2024 and 2025.

For more details:

FHFA Conforming Loan Limits. Click Here
FHA Loan Limits: Click Here

Home Buyers
Lower Monthly Payment and Overall Loan Costs
Qualify for a larger loan to purchase a better home—whether that means a remodeled kitchen, an extra bedroom, more space, or a preferred location.

Purchasing Power Costs
Apply for a larger loan to buy a better home with a remodeled kitchen, extra bedroom, more space, or in a preferred location.

Homeowners
Access More Equity with a Cash-Out Refinance
Leverage your home’s equity to pay down debt, cover college tuition, or fund home improvements.

Refinance Out of a Jumbo Loan
If your jumbo loan balance is near the new conforming limit in your area, refinancing to a conforming loan could help you secure better terms and lower costs.

Benefits of Higher Loan Limits
Home Buyers

Lower Monthly Payment and Overall Loan Costs

Purchasing a home with a conforming loan versus a higher-cost jumbo loan can lower your borrowing costs. Conforming loans generally have better interest rates, lower costs, and flexible down payment, credit, and qualification guidelines.

Increased Purchasing Power

Apply for a larger loan to buy a better home with a remodeled kitchen, extra bedroom, more space, or in a preferred location.

Homeowners

Tap into more equity with a cash-out refinance

Pay down debt, cover college tuition, or make home improvements.

Refinance a Jumbo Loan

If you have a jumbo loan with a balance near a new loan limit in your area, you may benefit by refinancing to a conforming loan.

Explore Your 2026 Mortgage Options
With higher loan limits in 2026, you have more flexibility with both conventional and FHA programs. Whether buying a primary home or growing your investment portfolio, now is a great time to see how these changes can benefit you. Call 808-566-6611 or request a consultation today.