I’m sure you are aware that home values have gone up. Home prices have increased recently possible at the fastest pace in modern history. One indication of the rise is that the loan limit for conventional home loans has been raised recently to $625,000. Not too long ago, it was $450,000.

If you need to borrow more than the basic loan limit, you have to apply for what is referred to as a “jumbo mortgage”. The requirements that you have to meet to get a jumbo mortgage are quite restrictive – so much so that the average person would have a hard time qualifying.

This might apply to you if your home has gone up in value and you want to refinance and draw some cash out of the deal to use for other purposes. This now might make more sense because you probably can avoid the “jumbo loan” situation.

According to the Federal Housing Finance Agency website, The Federal Housing Finance Agency (FHFA) announced the maximum conforming loan limits for mortgages to be acquired by Fannie Mae and Freddie Mac in 2021. In most of the U.S., the 2021 maximum conforming loan limit (CLL) for one-unit properties will be $548,250, an increase from $510,400 in 2020.

According to Zillow, the typical home value of homes in Florida is $321,643. This value is seasonally adjusted and only includes the middle price tier of homes. Florida home values have gone up 22.2% over the past year.

Ruth Schoenherr is a mortgage broker who will help you find home loans in the Clearwater, Palm Harbor, Largo, Safety Harbor, St Petersburg and Tampa Bay area. For more information, go to her web site at www.ClearwaterMortgageBroker.net or call at 727 447-2418.