New loan limits for Single Family Title II forward and Home Equity Conversion Mortgages Increase for calendar year 2026
Housing and Urban Development’s (HUD) Federal Housing Administration (FHA) announced loan limits for calendar year 2026 for its Single Family Title II forward and Home Equity Conversion Mortgage (HECM) mortgage insurance programs. Loan limits for most of the country will increase due to the continued appreciation of home prices over the past year.
FHA must update its annual loan limits each year using a formula prescribed in the National Housing Act (NHA). This formula uses county or Metropolitan Statistical Area (MSA) home sale data to derive new loan limits for the three cost categories established by the law. The NHA requires FHA to establish its floor and ceiling loan limits based on the national conforming loan limit set by the Federal Housing Finance Agency (FHFA) for conventional mortgages owned or guaranteed by the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac).
This floor applies to those areas where 115 percent of the median home price is less than the floor limit. Any area where the loan limit exceeds this floor is considered a high-cost area. In these areas, FHA establishes varying loan limits above the floor based on the respective median home prices in each area. The NHA requires FHA to set its maximum loan limit ceiling for a one-unit property for high-cost areas at 150 percent of the national conforming loan limit. Forward mortgage limits for the special exception areas of Alaska, Hawaii, Guam, and the U.S. Virgin Islands are adjusted further by FHA to account for higher costs of construction.
Forward Mortgage Loan Limits
The new forward mortgage loan limits in the table below are effective for FHA case numbers assigned on or after January 1, 2026.
| Property Size | Low-Cost Area “Floor” | High-Cost Area “Ceiling” |
| One-Unit | $541,287 | $1,249,125 |
| Two-Units | $693,050 | $1,599,375 |
| Two-Units | $693,050 | $1,599,375 |
| Three Units | $837,700 | $1,933,200 |
| Four-Units | $1,041,125 | $2,402,625 |
Mortgage limits for the special exception areas of Alaska, Hawaii, Guam, and the U.S. Virgin Islands are adjusted by FHA to account for higher costs of construction.
HECM Loan Limits
The HECM maximum claim amount will increase from $1,209,750 in calendar year 2025 to $1,249,125 for FHA case numbers assigned on or after January 1, 2026. This maximum claim amount applies to all areas, including the special exception areas of Alaska, Hawaii, Guam, and the U.S. Virgin Islands.
To find a complete list of FHA loan limits, areas at the FHA ceiling, and areas between the floor and the ceiling, visit FHA’s Loan Limits Page