Fannie Mae hub
Conforming loans and the yearly limit
A loan can be too large for Fannie Mae to buy. The limit changes every year.
What conforming means
A conforming loan is one that meets Fannie Mae's and Freddie Mac's buying rules, including a cap on the size of the loan. Lenders like conforming loans because they can sell them.
The yearly limit
The Federal Housing Finance Agency sets the conforming loan limit each year. It is not the same for every county, and it is higher for homes with more units. Because it changes, this page does not print it until a person has checked it against the FHFA's page.
Jumbo loans
A loan larger than the limit is called a jumbo loan. Fannie Mae and Freddie Mac do not buy jumbo loans, so each lender sets its own terms for them.
What to ask
Ask a lender whether the loan you need would be conforming, and ask how a loan just under or just over the limit would differ.
What this rests on
Amounts and limits change and differ by lender and by county. Ask a lender, and read the official page. Read the official page.
More Fannie Mae topics
- Fannie Mae does not lend to buyersIt buys loans from lenders. That one fact explains most of the words you will hear.
- HomeReady and other programsFannie Mae gives lenders a program called HomeReady. A lender decides whether it fits you.
- PMI versus government insuranceEvery loan with a small down payment has some kind of insurance for the lender. Who provides it differs.
- The home has to pass tooA lender looks at the house as well as the buyer.
- Steps from search to keysThe order is the same for most home loans.
Educational only. AskResi is not a lender.