My office has received word that conventional loan limits, which were lowered late last year to $625,000, have finally returned to $729,750. This means that clients who were facing jumbo loan rates for loans above $625,000 may now be able to take advantage of a higher loan at rates below 5% with a fraction of points. In markets such as the Washington DC area, this is doubly good news to buyers with 20% down payments who have been waiting to move on homes whose prices are now within the acceptable price ranges for their financing planning.
Just to give you an idea of where zero point rates are right now (assuming good credit)…
- Conventional: Up to $417,000 = 4.875%; $417,000 – $729,750 = 5.125%; Over $729,750 = 6.25% fixed; Over $729,750 = 5.25% 5/1 ARM
- FHA: Up to $417,000 = 5.0%; $417,000 – $729,750 = 5.375%;
Of course rates are very dependent on credit scores and down payments
Hill Slowinski, licensed in DC, MD, and VA
4701 Sangamore Road, Bethesda, Maryland 20816
Cell: 301-452-1409 Direct: 301-320-8430 Ofc: 301-229-4000