The conforming loan limit is the maximum amount of money a homebuyer can borrow using a conventional mortgage that’s eligible for purchase by Fannie Mae and Freddie Mac. The Federal Housing Finance Agency, which oversees Fannie and Freddie, adjusts the baseline limit each year based on the national average home price, with higher loan limits in areas that have above-average housing costs.
Consumers who need to borrow more than the conforming loan limit can add a purchase-money second mortgage or choose a nonconforming jumbo loan. These tend to have stricter credit score and income requirements. Here’s what to know about the 2026 conforming loan limit, including which types of mortgages must adhere to these limits and what to consider before taking out a jumbo home loan.
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What Are the Conforming Loan Limits for 2026?
The baseline conforming loan limit, or CLL, for single-family homes throughout most of the U.S. is $832,750 for 2026, up from $806,500 in 2025. That’s an increase of $26,250, or 3.26%.
The FHFA has increased its limits significantly in recent years due to rapid home price appreciation. In fact, the CLL has increased by 63% since 2020, when it was $510,400.
Importantly, the CLL varies based on where the home is located and the number of units. The CLL for a single-unit property maxes out at $1,249,125 in areas with a high cost of living, such as pricey metropolitan areas and the entire states of Alaska and Hawaii. Here are the current minimum and maximum conforming loan limits based on property type:
| Property Type | Minimum Conforming Loan Limit | Maximum Conforming Loan Limit |
| One-unit | $832,750 | $1,249,125 |
| Two-unit | $1,066,250 | $1,599,375 |
| Three-unit | $1,288,800 | $1,933,200 |
| Four-unit | $1,601,750 | $2,402,625 |
You can search the interactive U.S. map below to see a county-by-county breakdown of the CLL by property type.
[MAP]
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Conforming Loans vs. Jumbo Loans: What’s the Difference?
The conforming loan limit applies to conventional loans, which are simply mortgages that aren’t backed by a government agency. A conventional loan is considered conforming when it falls within the CLL and conforms to standards established by Fannie Mae and Freddie Mac, the two government-sponsored enterprises that purchase many mortgages from banks and lenders.
The eligibility criteria for conventional conforming loans are set by Fannie and Freddie. There is no fixed credit score requirement, though historically, that number has been set at 620. Borrowers do need to put down 3% to 5%. Borrowers with lower credit scores or smaller down payments must have a debt-to-income ratio, or DTI, of 36% or less. However, those with larger down payments and higher credit scores may qualify with a DTI of up to 45%. Keep in mind that lenders are allowed to set higher standards, which are known as lender overlays.
Conventional loans that exceed the CLL are known as jumbo loans, which are ineligible for purchase by Fannie or Freddie. Jumbo loans may be held on a lender’s books or sold to investors that set their own requirements. Because larger loan amounts can be riskier to originate, these loans often (but not always) come with higher mortgage rates.
Additionally, jumbo loan lenders generally impose stricter eligibility requirements when it comes to an applicant’s credit history, income and existing debts. A borrower typically needs a credit score in the 700s. Minimum down payments generally range from 10% to 30% or more to qualify for a jumbo loan.
What to Know About Buying a Home Above the Conforming Loan Limit
For the typical homebuyer, finding a reasonably priced home within the CLL is a smart move. But for homebuyers who can afford a more expensive home, a jumbo loan is a financing option. Here are a few things to consider before borrowing more than the conforming loan limit:
It’s harder to qualify for a jumbo loan. If you’re considering buying a high-priced home using a mortgage, you’ll need to prove you have the financial stability to afford it. Mortgage lenders want to minimize risk when originating jumbo loans, so be prepared to have your income, debts and credit report scrutinized thoroughly. Here’s how to qualify for a jumbo loan:
— Work on improving your credit score early. You’ll want to have a FICO score of very good (740-799) or exceptional (800+) to have the best chances at jumbo loan approval.
— Keep your debt-to-income ratio low. You can improve your DTI by finding ways to increase your income or by paying off existing debts like revolving credit card balances and auto loans.
— Bolster your cash reserves. Bigger purchases mean higher down payments. Your cash reserves should cover your down payment of 10% or more, closing costs and at least six to 12 months’ worth of mortgage payments.
Jumbo mortgage rates can be higher. Jumbo loans can’t be moved into mortgage-backed securities purchased by Fannie and Freddie. Larger loans can mean greater risk, and banks and lenders often charge higher mortgage interest rates for riskier jumbo loans. This makes them more expensive to repay over time.
Luxury homes may not hold their value. One of the biggest incentives for buying a home is that it’s likely to appreciate over time, helping the buyer build wealth in the form of equity. But small and midsize home markets are less subject to economic downturns, research from Realtor.com shows. Keep in mind that a multimillion-dollar home may be less of an investment vehicle and more of a discretionary purchase.
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Government-Backed Mortgages Also Have Loan Limits
FHA Loan Limits
backed by the Federal Housing Administration, also utilize the FHFA’s conforming loan limit. But instead of splitting up the limits by county, the FHA determines the loan limit by metropolitan statistical area, or MSA.
In low-cost areas, which includes most of the country, the FHA loan limit “floor” is 65% of the baseline conforming loan limit — $524,225 for a single-unit property in 2025. In select high-cost areas like New York City, San Francisco and the District of Columbia, the FHA loan limit “ceiling” is 150% of the CLL, or $1,209,750. Many midsize cities like Atlanta, Boston and Denver fall somewhere in between the floor and the ceiling.
| Property Type | Low-Cost Areas | High-Cost Areas | Special Exception Areas* |
| One-Unit | $524,225 | $1,209,750 | $1,814,625 |
| Two-Unit | $671,200 | $1,548,975 | $2,323,450 |
| Three-Unit | $811,275 | $1,872,225 | $2,808,325 |
| Four-Unit | $1,008,300 | $2,326,875 | $3,490,300 |
| *Includes Alaska, Guam, Hawaii and the U.S. Virgin Islands |
FHA loans have more lenient eligibility requirements, with a minimum credit score of 580, a minimum down payment of 3.5% and a maximum DTI ratio of around 50%. Borrowers with credit scores as low as 500 may qualify for an FHA loan, but they’ll need to put at least 10% down.
USDA Loan Limits
USDA home loans are issued to low- and moderate-income homebuyers in designated rural areas. There are two types of USDA loans: mortgages that are guaranteed by the U.S. Department of Agriculture, and mortgages that are funded directly by the department.
USDA guaranteed loans don’t have a set borrowing limit, but the maximum income threshold effectively keeps loan amounts below the CLL. On the other hand, USDA direct loans have area loan limits — between $419,300 and $970,800 for single-family homes effective March 7, 2025. New loan limits are announced each spring, so check the USDA website for the most current figures.
VA Loan Limits
In many cases, veterans who are borrowing with a VA loan, backed by the Department of Veterans Affairs, don’t need to adhere to the FHFA’s conforming loan limits. There’s no loan limit for VA loan borrowers who have full entitlement, but lenders typically base their maximums on the CLL. Those who want to purchase more expensive homes generally must put down 25% of the amount by which the home’s purchase price exceeds the CLL.
That being said, some qualifying active and retired military personnel must be aware of the CLL. Those with limited entitlement can only get a VA purchase loan if it falls within their area’s CLL. You can learn more about your entitlement status through the VA website.
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What Is the 2026 Conforming Loan Limit? originally appeared on usnews.com
Update 11/25/25: This story was previously published at an earlier date and has been updated with new information.
