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2021 FHA Loan Limits in Maryland

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FHA loan limits in Maryland vary widely, from $356,362 in more rural, low-cost areas to $822,375 in counties surrounding Washington, D.C. The federal government has set the maximum amount a Maryland homebuyer can borrow with an FHA loan at $356,362 in 10 counties, including many on the Eastern Shore. But borrowers in costlier counties, such as Calvert and Frederick, may be eligible to borrow up to $822,375 for a single-family home.

If you’re thinking about buying a house in Maryland, this may be the perfect time to make the leap. And thanks to the Federal Housing Administration (FHA), some Maryland homebuyers can qualify for federally backed loans to help get them into a new house. This year, residents will be able to borrow more with an FHA loan in some areas to make their homebuying dreams come true.

Maryland FHA loan limits by county

FHA Loan Limits in Maryland
County Name One-Family Two-Family Three-Family Four-Family Median Sale Price
Allegany $356,362 $456,275 $551,500 $685,400 $121,000
Anne Arundel $538,200 $689,000 $832,850 $1,035,000 $468,000
Baltimore $538,200 $689,000 $832,850 $1,035,000 $468,000
Baltimore City $538,200 $689,000 $832,850 $1,035,000 $468,000
Calvert $822,375 $1,053,000 $1,272,750 $1,581,750 $823,000
Caroline $356,362 $456,275 $551,500 $685,400 $185,000
Carroll $538,200 $689,000 $832,850 $1,035,000 $468,000
Cecil $431,250 $552,050 $667,350 $829,350 $375,000
Charles $822,375 $1,053,000 $1,272,750 $1,581,750 $823,000
Dorchester $356,362 $456,275 $551,500 $685,400 $164,000
Frederick $822,375 $1,053,000 $1,272,750 $1,581,750 $823,000
Garrett $356,362 $456,275 $551,500 $685,400 $186,000
Harford $538,200 $689,000 $832,850 $1,035,000 $468,000
Howard $538,200 $689,000 $832,850 $1,035,000 $468,000
Kent $356,362 $456,275 $551,500 $685,400 $205,000
Montgomery $822,375 $1,053,000 $1,272,750 $1,581,750 $823,000
Prince George’S $822,375 $1,053,000 $1,272,750 $1,581,750 $823,000
Queen Anne’S $538,200 $689,000 $832,850 $1,035,000 $468,000
Somerset $356,362 $456,275 $551,500 $685,400 $300,000
St. Mary’S $356,362 $456,275 $551,500 $685,400 $300,000
Talbot $408,250 $522,600 $631,750 $785,100 $355,000
Washington $356,362 $456,275 $551,500 $685,400 $205,000
Wicomico $356,362 $456,275 $551,500 $685,400 $300,000
Worcester $356,362 $456,275 $551,500 $685,400 $300,000

How are FHA loan limits determined?

The U.S. Department of Housing and Urban Development (HUD) sets limits on how expensive a house the FHA will insure in each county in the United States. These limits are set based on the current year’s conforming loan limit — or how large of a mortgage Fannie Mae and Freddie Mac will purchase. In 2021, that conforming limit is $548,250, up roughly $38,000 from 2020’s limit of $510,400.

The FHA “floor” is the largest mortgage the agency will issue in most of the country and is 65% of the conforming loan limit. In 2021, the FHA floor is set at $356,362, an increase of about $24,600 above the 2020 limit of $331,760.

The FHA “ceiling” is a higher limit that only applies to high-cost areas. This is set at 150% of the conforming loan limit, or $822,375 for single-family homes. With a few exceptions, this is generally the largest mortgage amount the agency will insure for a single-family home. In many parts of the country, loan limits fall somewhere between the FHA floor and ceiling.

Outside of the lower 48 states, FHA maximum loan limits are higher because of more expensive construction costs. These include the special exception areas of Alaska, Hawaii, Guam and the U.S. Virgin Islands.

Here are the 2021 standard FHA limits for all property types:

  • One-unit: $356,362
  • Two-unit: $456,275
  • Three-unit: $551,500
  • Four-unit: $685,400

Here are the 2021 standard FHA limits for high-cost areas:

  • One-unit: $822,375
  • Two-unit: $1,053,000
  • Three-unit: $1,272,750
  • Four-unit: $1,581,750

Do you qualify for an FHA loan in Maryland?

FHA loans are a great deal for qualified buyers, thanks to lower down payments and closing costs. Find out if your credit score and income will help you qualify for one of these loans.

 

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