Conforming Loan Limit Will Rise in 2023
The Federal Housing Finance Agency (FHFA) today announced that the maximum baseline conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac in 2023 will rise to $726,200, an increase of $79,000 from $647,200 in 2022.
The conforming loan limits are required by the Housing and Economic Recovery Act (HERA) to reflect the percentage change in the average U.S. home price during the most recent 12-month or four-quarter period ending before the time of determining the annual adjustment. In 2023, the conforming loan limit will rise 12.21% because FHFA has determined that the average U.S. home value increased by that amount between the third quarters of 2021 and 2022.
Higher loan limits will be in effect in higher-cost areas as well. The new ceiling loan limit in high-cost markets will be $1,089,300, which is 150% of $726,200. The previous ceiling was $970,800.
In its news release, FHFA said that due to rising home values, the ceiling loan limits will be higher in all but two U.S. counties or county equivalents in 2023.
A list of the 2023 maximum conforming loan limits for all counties and county-equivalent areas in the country may be found here.
Latest from NAHBNow
Economics
Sep 05, 2025
Mortgage Rates Hit 10-Month Low in AugustAverage mortgage rates in August continued their steady decline and are now at their lowest rate since last November. But rates are still higher year over year.
Economics | Land Development
Sep 04, 2025
Home Building Lot Shortage ContinuesAlthough lot shortages are not quite as widespread as they were in 2021, obtaining lots remains a challenge for many home builders, according to recent results from the NAHB/Wells Fargo Housing Market Index (HMI) survey.
Latest Economic News
Economics
Sep 05, 2025
Job Growth Slowed in AugustJob growth slowed sharply in August, and the unemployment rate rose to its highest level in nearly four years.
Economics
Sep 04, 2025
Lots Still in Relatively Short SupplyAlthough shortages are not quite as widespread as they were in 2021, obtaining lots remains a challenge for many builders, according to recent results from the NAHB/Wells Fargo Housing Market Index (HMI) survey.
Economics
Sep 04, 2025
HVAC in New Construction in 2024Almost all of new single-family homes started in 2024 used either an air/ground source heat pump or a forced air system for the primary heating equipment (97%), according to the Census’s Survey of Construction. Additionally, 20% percent of homes also used a secondary type of heating equipment.