Ethical Homes

Freddie Mac has confirmed that they will be keeping 2007 single-family-home conforming loan limits at their 2006 values.

In late 2005, attempting to keep up with the rapid appreciation in home prices that was then prevalent, Fannie Mae & Freddie Mac raised the limit nearly twice as much as they had in previous years, to $417,000 for 2006; given the widespread levelling off of real estate price appreciation in the last year, and the fact that Fannie & Freddie have historically been averse to lowering the limit (last doing so in 1990, when they reduced the limit by just $150), this announcement came as no surprise, but it’s good to get official word; Fannie should be officially announcing the same thing sometime soon.

Historical conforming loan amounts and limits for multi-family homes are available in our Glossary.