Valuation Management Group, as part of our appraisal management services, strives to keep our partners updated on industry related issues.
The FHA published Mortgagee Letter 2017-16 on December 8, 2017 announcing 2018 nationwide maximum mortgage limits for FHA-insured forward mortgages. The limits for low cost areas are set at 65 percent of the national conforming limit for a one-unit property and limits for high cost areas are set at 150 percent of the national conforming limit for a one-unit property. There are also special exceptions for areas of Alaska (AK), Hawaii (HI), Guam (GU) and the Virgin Islands (VI) which have higher maximum mortgage amounts due to the higher cost of construction.
For one-unit properties, the new maximum mortgage limits are:
- Low Cost – $294,515
- High Cost – $679,650
- Special exception areas of AK, HI, GU and VI – $1,019,475
The new loan limits for calendar year 2018 are effective for case numbers assigned on or after January 1, 2018.
To read Mortgagee Letter 2017-16 in its entirety, please use the following link. https://www.hud.gov/sites/dfiles/OCHCO/documents/17-16ml.pdf
To access 2018 Limits for individual MSA’s and counties, please use the following link: https://entp.hud.gov/idapp/html/hicostlook.cfm
Valuation Management Group is pleased to share this news with our partners. If there are any additional questions about this announcement, please feel free to reach out to Sharon Lynn, Vice President of Client Relations by email at Sharon.Lynn@vmgappraisals.com or phone 678-501-7880.
Valuation Management Group is a national, residential and commercial appraisal management services company that manages the appraisal process, including the appraisal review, for financial institutions, banks, mortgage bankers, and credit unions. VMG offers a full array of commercial and residential appraisal products and services. The company’s goal is to take the appraisal process from ordinary to extraordinary for its clients and appraisers.