The 2021 FHA loan limits have been increased for most counties across the U.S., in response to significant home-price growth that occurred during 2020. The 2021 loan limits shown below will apply to FHA-insured purchase loans with a case number assigned on or after January 1, 2021.
Key highlights from this report:
- The 2021 FHA loan limits have been increased for most counties across the U.S., due to home-price gains over the past year.
- In 2021, FHA loan limits will range from $356,362 in lower-cost areas, up to $822,375 in high-cost areas like San Francisco and Washington, D.C.
- The limit for the “special exception” areas of Alaska, Hawaii, Guam, and the Virgin Islands will go up to $1,233,550 in 2021.
- These limits apply to one-unit (single-family) home purchases. There are higher caps for multi-family properties, such as duplexes and triplexes. You’ll find those further down the page.
- These limits vary by county. You can find the ones that apply to your county by visiting HUD.gov and doing a database search.
Note: The rest of this page pertains to home purchase loans, in particular. HUD has a separate set of limits for its reverse mortgage program (HECM).
2021 FHA Loan Limits Increased
On December 2, 2020, the Federal Housing Administration announced that the FHA loan limits for calendar year 2021 would be increased for most counties across the U.S., in response to rising home prices.
According to the agency’s December announcement:
“In high-cost areas of the country, FHA’s loan limit ceiling will increase to $822,375 from $765,600. FHA will also increase its floor to $356,362 from $331,760. Additionally, the FHA-insured Home Equity Conversion Mortgage (HECM) maximum claim amount (HECM limits) for reverse mortgages will increase to $822,375 from $765,600.”
To clarify this statement: FHA loan limits for purchase loans (i.e., those used by home buyers) vary by county, because they are based on median home prices. The Home Equity Conversion Mortgage (HECM) limits, on the other hand, do not vary by county and are the same for properties nationwide.
FHA Loan Limits for Low-Cost Areas
The 2021 FHA loan limits for low-cost areas of the U.S. are as follows:
- One-unit: $356,362
- Two-unit: $456,275
- Three-unit: $551,500
- Four-unit: $685,400
Note: In this context, the “one-unit” category refers to a regular single-family home that serves as a single residence. “Two-unit” refers to duplex-style properties, and so on.
Most areas across the U.S. fall into the low-cost category. Just bear in mind that these limits do vary by county, which means the more expensive real estate markets tend to have higher FHA loan caps. See the bottom of this page for instructions on finding the specific limits for your county.
FHA Loan Limits for High-Cost Areas
The Federal Housing Administration also maintains a separate set of FHA loan limits for high-cost areas. These are counties and metro areas with a relatively high median home price, compared to the national average. Examples include San Francisco, California and Washington, D.C.
The 2021 FHA loan limits for high-cost areas are as follows:
- One-unit: $822,375
- Two-unit: $1,053,000
- Three-unit: $1,272,750
- Four-unit: $1,581,750
Special Exceptions: Alaska, Hawaii, Guam, Virgin Islands
Lastly, we have the so-called “special exception” areas. These areas have a higher cost of home construction, due to transportation and shipping constraints (among other factors). Special exceptions are made for Alaska, Hawaii, Guam and the Virgin Islands.
The 2021 FHA loan limits for special exception areas are as follows:
- One-unit: $1,233,550
- Two-unit: $1,579,500
- Three-unit: $1,909,125
- Four-unit: $2,372,625
How to Find the Numbers for Your County
As mentioned earlier, the 2021 FHA loan limits vary by county due to regional differences in home prices. More expensive real estate markets tend to have higher limits, while cheaper markets tend to have lower ones.
The low-cost, high-cost and “special exception” loan limits above do not cover all counties in the U.S. Many counties fall somewhere in between the low-cost “floor” and the high-cost “ceiling” figures shown above.
So, how do you find the 2021 FHA loan limits for your county? You can do this by visiting the HUD.gov website and searching their database.
Here’s how to do that:
- Click the following link, or copy and paste it into your browser: https://entp.hud.gov/idapp/html/hicostlook.cfm
- Select your state from the dropdown box labeled as “State.”
- If you only want results for your particular county (and not the entire state), select your county from the next dropdown bow. Otherwise, skip this step.
- For “Limit Type,” select either FHA forward (for purchase loans) or HECM (for the agency’s reverse mortgage program).
- For “Limit Year,” choose 2021.
- You can leave the “MSA” fields blank, if you choose.
- Click the “Send” button.
Once you complete these steps, you’ll be presented with the 2021 FHA loan limits for your particular county — assuming those are the parameters you chose.