Each year the Federal Housing Finance Agency (FHFA) reviews home appreciation and makes adjustments to the maximum conventional loan limits. With our booming housing market the FHFA was able to increase the new conforming loan limits substantially for 2021.
Conventional loans are home loans sold to Fannie Mae and Freddie Mac. Nearly all banks and lenders follow these guidelines when lending on residential property so the loans are salable on the secondary market.
For 2021, the new loan limit for conforming loans will be $548,250. This is an increase from $510,400 from 2020 which allows homebuyers to increase their purchasing power.
Loan Limits by Property Type
- 2021 One-Unit Loan Limit: $548,250
- 2021 Two-Unit Loan Limit: $702,000
- 2021 Three-Unit Loan Limit: $848,500
- 2021 Four-Unit Loan Limit: $1,054,500
Conventional Loan Limit Calculation
The new Conventional Loan Limit of $548,250 is the baseline limit for one-unit properties in United States. There are certain areas in the country that are considered to be high cost, such as Alaska and areas of California.
In order for these areas to be deemed as high cost, 115% of the local median home value must exceed the baseline loan limit for that county. The high cost loan limited in these areas will increase by 150% of the baseline.
This makes the maximum loan limit for these areas $822,375. A map of the U.S. counties and their maximum loan limits using the loan limit map. There are no counties in Michigan that are considered to be a high cost area.
Are there loans options for over the Conventional Loan Limit?
With property values increasing, having options for larger loans may be necessary for some buyers. If the loan amount exceeds the conforming loan limit of $548,250, the mortgage is called a jumbo loan.
Jumbo mortgages are non-conforming loans that have guidelines and rates set by individual investors and banks. As a Mortgage Broker, Riverbank Finance is able to offer a wide variety of Jumbo loan options with low rates and low down payments.
Michigan Loan Limits by County
County Name | State | One-Unit Limit | Two-Unit Limit | Three-Unit Limit | Four-Unit Limit |
Alcona | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Alger | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Allegan | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Alpena | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Antrim | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Arenac | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Baraga | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Barry | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Bay | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Benzie | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Berrien | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Branch | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Calhoun | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Cass | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Charlevoix | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Cheboygan | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Chippewa | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Clare | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Clinton | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Crawford | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Delta | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Dickinson | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Eaton | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Emmet | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Genesee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Gladwin | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Gogebic | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Grand Traverse | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Gratiot | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Hillsdale | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Houghton | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Huron | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Ingham | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Ionia | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Iosco | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Iron | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Isabella | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Jackson | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Kalamazoo | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Kalkaska | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Kent | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Keweenaw | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Lake | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Lapeer | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Leelanau | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Lenawee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Livingston | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Luce | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Mackinac | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Macomb | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Manistee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Marquette | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Mason | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Mecosta | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Menominee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Midland | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Missaukee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Monroe | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Montcalm | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Montmorency | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Muskegon | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Newaygo | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Oakland | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Oceana | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Ogemaw | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Ontonagon | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Osceola | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Oscoda | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Otsego | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Ottawa | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Presque Isle | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Roscommon | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Saginaw | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Saint Clair | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Saint Joseph | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Sanilac | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Schoolcraft | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Shiawassee | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Tuscola | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Van Buren | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Washtenaw | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Wayne | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Wexford | MI | $548,250 | $702,000 | $848,500 | $1,054,500 |
Apply for a Conventional Home Loan
Over 80% of all mortgages are conventional loans. Conventional loans offer some of the lower mortgage rates and payments available for buying a home or refinancing. To apply for a Conventional Home Loan call Riverbank Finance today at 1-800-555-2098.