 |
| |
 |
| |
 |
| |
 |
| |
 |
| |
 |
| ||||||
 | |  | |  |
Davie Home Finance, 115 Donna Rd NE, Palm Bay, FL 32907
 | |  | |  | |  | |  |
Conforming Loans
Conforming home mortgages are eligible for sale and delivery to either the
Federal National Mortgage Association (FNMA) or the Federal Home Loan
Mortgage Corporation (FHLMC). These agencies generally purchase first
mortgages up to loan amounts mandated by Congressional directive
Conforming loans are typically what brokers refer to as A paper loans for A
borrowers.
Conforming loan amount limits may change from year to year. As of 2006 the
conforming loan amount limit is $417,000.00 anything over that amount is usually
considered a jumbo loan.
Besides setting the Conforming Loan Limits, Fannie Mae (FNMA) and Freddie
Mac (FHLMC) also limit the type of homes used as collateral for Conforming
Loans. For a loan to be Conforming (eligible for delivery to Fannie Mae and
Freddie Mac), the property used to secure the mortgage has to be a Single
Family Residence, 2 family, 3 family, 4 family residence, condominium,
cooperative, or Planned Unit Development. Loans that are secured by Mixed-use
(residential homes with a commercial unit) and properties with more than four
units are considered Non-conforming.
Conforming loans have the lowest available interest rates for home financing.
Conforming loans are easier to sell to investors.
Single-Family Mortgage Conforming Loan Limits effective January 1, 2006:
First mortgages
•One-family loans: $417,000
•Two-family loans: $533,850
•Three-family loans: $645,300
•Four-family loans: $801,950
Conforming home mortgages are eligible for sale and delivery to either the
Federal National Mortgage Association (FNMA) or the Federal Home Loan
Mortgage Corporation (FHLMC). These agencies generally purchase first
mortgages up to loan amounts mandated by Congressional directive
Conforming loans are typically what brokers refer to as A paper loans for A
borrowers.
Conforming loan amount limits may change from year to year. As of 2006 the
conforming loan amount limit is $417,000.00 anything over that amount is usually
considered a jumbo loan.
Besides setting the Conforming Loan Limits, Fannie Mae (FNMA) and Freddie
Mac (FHLMC) also limit the type of homes used as collateral for Conforming
Loans. For a loan to be Conforming (eligible for delivery to Fannie Mae and
Freddie Mac), the property used to secure the mortgage has to be a Single
Family Residence, 2 family, 3 family, 4 family residence, condominium,
cooperative, or Planned Unit Development. Loans that are secured by Mixed-use
(residential homes with a commercial unit) and properties with more than four
units are considered Non-conforming.
Conforming loans have the lowest available interest rates for home financing.
Conforming loans are easier to sell to investors.
Single-Family Mortgage Conforming Loan Limits effective January 1, 2006:
First mortgages
•One-family loans: $417,000
•Two-family loans: $533,850
•Three-family loans: $645,300
•Four-family loans: $801,950
| Call Today!! (321) 373-4659 (866) 319-2998 toll free |