The Size Of An FHA Loan Will Shrink In 2014!

Lower single-family home loan limits will take effect next year for homebuyers in Chicago and in many other areas who take out a mortgage backed by the federal government. Beginning Jan. 1, the maximum loan size that could be guaranteed by the Federal Housing Administration in the Chicago area will be $365,700, down from the current $410,000, the U.S. Department of Housing and Urban Development announced Friday. Loan limits on other types of single-family properties also will be reduced. For instance, the FHA will currently back a mortgage on a two-flat of up to $524,850. In January, that maximum limit will shrink to $468,150.