On Sept 29, the U.S. Congress extended through fiscal year 2011 the current conforming loan limit of $729,750 for high-cost areas, including many in California.It effectively extend the higher conforming loan limits for Fannie, Freddie, and FHA loans through Sept. 30, 2011. They were set to expire at year’s end.
The conforming loan limit determines the maximum size of a mortgage that government sponsored enterprises (GSEs) Fannie Mae and Freddie Mac can buy or “guarantee.” Therefore, loans fall into conforming category have much better rates than non-conforming or “jumbo loans”.
Interest rates for conforming and high-balance conforming remain very low due to expectation of further quantitative easing by federal reserve.
If you would like to discuss further on your refinance or getting a mortgage for buying a house, please feel free to email me or call me.
All of our loans are NO COST, NO POINTS and NO PREPAYMENT PENALTY.
