Conforming Loans

Conforming Loans

Conforming Loans:

Conforming loans are conventional loans that meet bank-funding criteria set by Fannie Mae (FNMA) and Freddie Mac (FHLMC). Both of these stock-holding companies buy mortgage loans from lending institutions and secure them for resale to the investment community. Every year, form October to October, Fannie Mae and Freddie Mac establish limits on what constitutes a conforming loan in a mean home price.

Buying back mortgage loans allow these agencies to provide a continuous flow of affordable funding to banks that reinvest their money back into more mortgage loans. Fannie Mae and Freddie Mac only buy loans that are conforming, to repackage into the secondary market – effectively decreasing the demand for non-conforming loans.

Conforming Loan Limits:

Number of Units Maximum original principal balance Alaska, Guam, Hawaii, and U.S. Virgin Islands only
1 $417,000 $625,500
2 $533,850 $800,775
3 $645,300 $967,950
4 $801,950 $1,202,925

NOTE: The conforming loan limit in Alaska, Hawaii, Guam and the Virgin Islands is 50% higher.

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Licensing

Travis Palm NMLS #220102
Palm Lending, LLC NMLS ID#164925
Palm Lending LLC DBA Palm Lending Florida
Licensed in Texas and Florida

Link to Recovery State of Texas Recovery Fund Notice

Link to Florida Office of Financial Regulation (OFR)

Equal Housing Lender

Contact Us

Palm Lending, LLC
13801 Nutty Brown Rd
Austin, TX 78737

Number:
(512) 535-2549

Hours:
MON-FRI 8:30AM - 5:30PM