HUD raises mortgage
limits for countyís
Express Staff Writer
Department of Housing and Urban Development has raised the limit on home
loans it provides through the Federal Housing Administration. The increase
could make it easier for working families to become homeowners.
County, the FHA will now insure mortgages for single-family homes up to
$255,550. The limit last year was $239,250, and the limit in 2000 was
limits for two-to-four-unit dwellings also increased.
good news, because it means that HUD is recognizing our special situation
here in the valley with housing," said Gates Kellett, Ketchum-Blaine
County housing director. "The question is how is HUD getting that
information up here?"
past, FHA-insured loans have been used to finance affordable housing with
price restrictions in Ketchum, such as the River Glenn condominiums, which
offered two-bedroom units for $120,000, Kellett said. With the recent
increases, she expects more home-buyers will be able to use HUD loans for
loans help low-to-middle income and first-time home-buyers because the
agency requires only a 3 percent down payment, and allows family and
friends to contribute to the initial expenses of buying a home. Also, the
agency has relaxed standards and allows borrowers to carry more debt than
private mortgage insurers usually allow.
said one drawback to HUD loans is they have income limits, which means
borrowers might need a large down payment to qualify for a $255,550 loan.
went into effect Jan. 1 and are part of a nationwide increase. FHA is now
insuring single-family mortgages up to $144,336 in low-cost areas and up
to $261,609 in high-cost areas, an increase of nine percent over last yearís