Higher 2023 FHA Loan Limits Give Homebuyer More Buying Power

Posted on January 29, 2022 in Mortgage FAQ's

People searching for a new home have good news as we start the new year.The higher 2023 FHA loan limitsgive homebuyers more buying power, and it’s a definite plus for people shopping in Raleigh and the surrounding area. Every year, theFederal Housing Finance Agency(FHFA) reviews the changes in housing prices over a one-year period. Then, they adjust the limits of conforming loans to align with those changes. Between the first quarter of 2022 and the same period in 2023, home prices rose a national average of4.7%. The FHFA has increased the 2023 home loan limits by the same amount.

The 2023 FHA loan limits now range from $472,030 to $1,089,300, depending on where you are purchasing your home. Areas with higher priced homes—like New York, Los Angeles, Boston, Seattle, Denver, and Washington, DC—can borrow up to the ceiling of this range. Here in the Raleigh, North Carolina area, where homes are more affordable, the FHA loan limit is now $472,030.

How does the higher 2023 FHA loan limit help homebuyers?

Let’s say you were shopping for a home in 2022. You were pre-approved for a mortgage. You had been looking for a certain size and type of home. Then the price went up.

Was it still within your price range or did you then have to look for a lesser home? Or were you forced to move to a loan with a higher interest rate or larger down payment requirement?

If this sounds familiar, you’re not alone.

The 2023 conforming loan limits allow for affordable financing that accommodates the change in home prices. If you meet theFHA loan requirements, which are guaranteed by the government, you get a low-interest loan with a loandown payment. If your credit score is 580 or above, you couldqualify for an FHA mortgagewith just 3.5% down payment. Even with a credit score of 500, you can get an FHA home loan with only 10% down.

New Home Inc. has homes below the FHA loan limit

New Home Inc.is working hard to provide homebuyers with more appealing choices. Our new homes for sale in Raleigh suburbs reflect the latest trends in new home design and construction, includingenergy efficiency, smart technology, and healthy home systems. We’re building single-family homes in locations that are less than 30 minutes from Downtown Raleigh—likeDuncan’s CreekinLillington, andWoodbridge SouthinFuquay-Varina, NC. Our new townhomes for sale also fit within the higher 2023 FHA loan limits to give homebuyers more buying power. Use this loan program to buy a brand new townhome atSpringwood Townes, within walking distance of the vibrant downtown district.

Using our smart design, these new construction homes start in the upper $200,000s, so they fall well within the FHA and conforming loan limit of $472,030 for Raleigh, NC! You could purchase a brand new home with features like an oversized, center island kitchen, a first-floor suite, and a home office—just a few of the upscale features you might expect only in the more expensive homes.

Clickherefor a virtual tour of the New Home Inc. floor plans. You can browse all of thefloor plans.

Remember that the 2023 FHA loan limits give homebuyers more buying power. Are you taking advantage of this benefit?

At New Home Inc., we’re excited to introduce you to our “Future Proof” approach to homebuilding, proof that affordable quality DOES exist.Sign up for our VIP Listto get the first updates on our available homes and communities inAngier,Fuquay-Varina,Lillington,Smithfield, andApex, NC, with more to come. Your new home is coming to the Raleigh area and we can’t wait to bring you there!

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