Real Estate Loan Limits Increasing for 2020
...and they should! Real estate pricing has steadily increased over the last year so it makes sense that loan limits should increase as well.
What does this mean for you?
Right? This is important for you, because if you are looking for an FHA loan on a home in Austin, half of homes listed are priced outside of what FHA allows. In 2020, this loan will allow a purchase up to $331,000. What can you get for this amount? HERE you go.
If you're shopping around for a Conventional loan in 2020, these limits are going up to $510,400.
We believe the increase in conventional financing limits will make things MUCH easier for the majority of buyers in the Austin area in 2020.
Previously, if your desired purchase amount was outside the guidelines for conventional financing, you had to go 'Jumbo', which makes things much more difficult, costly, and the chance for something to go catastrophically wrong and lose the loan/property all together went way up.
So! These are all good things for you in the coming year. Mortgage Rates should remain incredibly low for 2020, and increasing loan limits are making the loan process even more inclusive for the Austin market.
Not only that, our mortgage partners have informed us that Bank Statement Loans are back!
This is a loan product that allows you to finance a home, through a bank (not through Tommy Two Thumbs) without having to provide Tax Returns.
The Real Estate Market right now is ready for buyers who have been on the fence and waiting for the right loan, right rate, and right property.
What if I'm trying to sell?
If you're a seller, or thinking of selling- now is the time. Prices in Austin are still increasing which means you'll get the most from your home, with well qualified buyers in a superior and more stable loan product than previously available...and you'll also pay more for a different home. BUT- you'll have the advantage of increased loan limits to purchase a 'move up' home.
It's a lot to take in. Give us a call anytime at 512-598-6008 and we'll take care of you and answer any questions you may have.