New Conventional Loan Limits for 2026

If you plan to buy a home in 2026 and use a conventional loan, there is a new limit on how much you can borrow without needing a special type of mortgage.

The Federal Housing Finance Agency (FHFA) recently announced these limits.
 

What are the new limits?

 

• In most counties across the country, the maximum loan amount for a conventional mortgage is $832,750.
• In some higher-priced areas, the limit goes up to $1,249,125.

These limits are updated every year based on average home prices. They apply to common loan programs like conventional loans, FHA loans, USDA loans, and VA loans.
 

Why are these loan limits important?

The conforming loan limit is the highest amount of a mortgage that the government will guarantee.

This is important because lenders can sell these mortgages to government-backed companies like Fannie Mae and Freddie Mac, which helps keep costs lower for homebuyers.

If you borrow more than the limit for your area, you’ll need a “jumbo loan.” Jumbo loans are not backed by the government and usually require:
 

• A higher credit score (typically 650 or above)
• A bigger down payment
• And they often come with higher interest rates

 

Jumbo Loans

Many lenders offer jumbo loans for those who need to borrow more than the conforming loan limit. These loans can be a good option for buyers in expensive markets.

One lender mentioned as a top jumbo loan provider is Rocket Mortgage, which is known for excellent customer service and a wide selection of loan options.

They offer conventional, FHA, VA, and jumbo loans with flexible terms, and some programs allow for low down payments.
 

What should you do next?

 

• Find out the loan limit in your county (you can use online maps or tables provided by lenders or the FHFA).
• If you need a jumbo loan, compare offers from different lenders to find the best deal.
• Make sure you understand the requirements such as credit score and down payment.

 

Final Tips

Whether your loan amount is above or below the new limits, there are many options available to help you finance your home.

Check out different lenders and programs to make the choice that’s best for you.

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