FHA Loan Limits 2026: NEW $1,249,125 Ceiling (High-Cost Areas)

SM
Sarah Mitchell
VA/FHA Specialist • 18+ Years
Published January 29, 2026 • 13 min read

🚨 BREAKING: HUD Announces NEW FHA Loan Limits 2026

Effective January 1, 2026: FHA floor increases to $541,287 (up from $524,225), ceiling rises to $1,249,125 in high-cost areas. This means you can now borrow MORE with just 3.5% down!

FHA loan limits 2026: Floor (standard areas): $541,287 (up $17,062 from 2025). Ceiling (high-cost areas): $1,249,125 (up $39,375 from 2025). Special exception areas (Alaska, Hawaii, Guam, Virgin Islands): up to $1,873,675 for 4-unit properties. Why increase? Home prices rose 3.26% nationally (Q3 2024-2025). What this means: You can buy more expensive home with 3.5% down FHA loan. Example: High-cost area = $1,249,125 max loan = $1,293,000 home price with 3.5% down. Get pre-approved for FHA loan. Related: FHA requirements.

📊 Quick FHA Limits Comparison

Floor (Standard)

$541,287

Up $17,062 from 2025

Ceiling (High-Cost)

$1,249,125

Up $39,375 from 2025

Down Payment

3.5%

580+ credit score

Complete FHA Loan Limits 2026 Breakdown

Single-Family Loan Limits (1 Unit)

Area Type2025 Limit2026 LimitIncrease
Floor (Standard Areas)$524,225$541,287+$17,062 (3.26%)
Ceiling (High-Cost Areas)$1,209,750$1,249,125+$39,375 (3.26%)
Special Exception Areas*$1,209,750$1,249,125+$39,375 (3.26%)

*Special Exception Areas: Alaska, Hawaii, Guam, U.S. Virgin Islands. Higher limits due to increased construction costs.

Multi-Unit Property Limits 2026

UnitsFloor (Standard)Ceiling (High-Cost)Special Exception
1 Unit$541,287$1,249,125$1,249,125
2 Units$692,825$1,599,375$1,599,375
3 Units$837,425$1,933,400$1,933,400
4 Units$1,040,500$2,402,450$2,402,450

🎯 Check Your County FHA Limit!

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High-Cost Areas: Complete List

What Makes an Area "High-Cost"?

High-cost area = 115% of local median home value exceeds the floor limit ($541,287). In these areas, FHA allows higher loan limits up to the ceiling ($1,249,125) to reflect local housing costs.

📍 Top High-Cost Areas 2026

  • California: Los Angeles, San Francisco, San Diego, Orange County, San Jose
  • New York: New York City (all boroughs), Westchester County, Nassau County
  • Washington: Seattle, King County, Snohomish County
  • Colorado: Denver, Boulder, Summit County
  • Massachusetts: Boston, Cambridge, Nantucket
  • Hawaii: All counties (Honolulu, Maui, Kauai, Hawaii)
  • Alaska: Anchorage, Fairbanks, Juneau
  • Florida: Miami-Dade, Monroe County (Keys)
  • Virginia: Arlington, Fairfax, Loudoun County
  • Maryland: Montgomery County, Howard County

How to Find Your County Limit

1. Visit HUD Official Website

Go to HUD.gov/hud-partners/single-family-lender and search by county or ZIP code. Most accurate source for 2026 limits.

2. Ask Your Lender

Contact FHA-approved lender. They have access to complete county-by-county database and can tell you exact limit for your area.

3. Use FHA Calculator

Many lenders offer FHA limit calculators. Enter your county/ZIP, see your limit instantly. Includes down payment calculator (3.5% minimum).

Real-World Examples: What You Can Buy

🏠 Standard Area Example

County: Maricopa County, AZ (Phoenix)

FHA Limit: $541,287

Max Home Price: $561,000 (with 3.5% down)

Down Payment: $19,635 (3.5%)

Loan Amount: $541,287

Monthly Payment: $3,615 (6.25% rate, 30 years)

✅ Affordable for median income families!

🏙️ High-Cost Area Example

County: Los Angeles County, CA

FHA Limit: $1,249,125

Max Home Price: $1,294,000 (with 3.5% down)

Down Payment: $45,290 (3.5%)

Loan Amount: $1,249,125

Monthly Payment: $8,340 (6.25% rate, 30 years)

✅ Access to $1.3M homes with low down payment!

Frequently Asked Questions

What is the FHA loan limit for 2026?

Floor (standard areas): $541,287. Ceiling (high-cost areas): $1,249,125. Special exception areas (Alaska, Hawaii, Guam, Virgin Islands): same as ceiling. Multi-unit properties: 2-unit up to $1,599,375, 3-unit up to $1,933,400, 4-unit up to $2,402,450 (high-cost areas). Why increase? Home prices rose 3.26% nationally (Q3 2024-2026). How determined? HUD uses formula based on 115% of local median home value. If 115% of median exceeds floor, area gets higher limit up to ceiling. Find your limit: Visit HUD.gov or ask FHA lender.

Can I buy a $1.3 million home with FHA loan?

Yes, in high-cost areas! Example: Los Angeles County FHA limit = $1,249,125. With 3.5% down, you can buy home up to $1,294,000. Down payment: $45,290 (3.5% of $1,294,000). Requirements: 580+ credit score (3.5% down) or 500-579 credit (10% down), 43% DTI max, 2 years employment, primary residence only. Monthly payment: ~$8,340 (6.25% rate, 30 years) + PMI $1,040/month = $9,380 total. Income needed: $260K+ annual income (43% DTI). Not in high-cost area? Standard limit $541,287 = max home $561,000 with 3.5% down.

How do I know if I'm in a high-cost area?

3 ways to check: (1) HUD website: Visit HUD.gov/hud-partners/single-family-lender, search by county/ZIP. Shows exact limit for your area. (2) Ask lender: FHA-approved lenders have complete database. They'll tell you exact limit + calculate max home price. (3) General rule: If you're in major metro (LA, NYC, SF, Seattle, Boston, DC), likely high-cost. High-cost indicators: Median home price >$600K, competitive housing market, coastal/urban area. Standard area indicators: Median home price <$500K, suburban/rural, Midwest/South. Why it matters: High-cost = borrow up to $1,249,125. Standard = borrow up to $541,287. Difference = $707,838 more buying power!

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