The Federal Housing Finance Agency increased the 2026 conforming loan limits for mortgages eligible for purchase by Fannie Mae and Freddie Mac.
For a one-unit property, the national baseline limit is now $832,750. In designated high-cost areas, the one-unit ceiling is $1,249,125. Washington, D.C. and many nearby counties in Maryland and Northern Virginia qualify for the high-cost ceiling, but the exact limit should always be verified for the property’s county or independent city.
2026 One-Unit Conforming Loan Limits
| Area Type | 2026 One-Unit Limit |
|---|---|
| National baseline | $832,750 |
| Maximum high-cost ceiling | $1,249,125 |
The high-cost ceiling is 150% of the national baseline limit. Some counties receive a limit between the baseline and the ceiling based on local home values.
What Is a Conforming Loan?
A conforming loan is a conventional mortgage that meets the applicable requirements for acquisition by Fannie Mae or Freddie Mac, including the maximum loan amount.
A mortgage above the applicable county limit is generally considered a jumbo loan. Jumbo financing can still be a good option, but it may have different credit, reserve, down payment, documentation and pricing requirements.
Why the County Matters
The applicable conforming limit is based on the location of the property, not the borrower’s current residence or the lender’s office. A buyer purchasing in a high-cost county may qualify for a larger conforming loan than a buyer purchasing in a county where the national baseline applies.
This distinction is especially important in the Washington metropolitan area because buyers may be comparing homes across Maryland, Washington, D.C. and Virginia. Moving the search area across a county line can change the maximum conforming loan amount.
Does the Loan Limit Equal the Maximum Purchase Price?
No. The conforming loan limit applies to the loan amount, not the purchase price.
For example, a buyer may purchase above the county’s loan limit while keeping the first mortgage within the conforming range by making a larger down payment. The buyer must still qualify for the resulting loan and cash requirement.
How Do Conforming Limits Affect Low-Down-Payment Loans?
Higher loan limits can allow eligible buyers to use conforming conventional financing at higher purchase prices. The available down payment, mortgage insurance and program requirements depend on factors such as occupancy, credit, income, property type and the specific loan program.
A higher conforming limit does not guarantee approval or make every property eligible. Condominium project requirements, appraisal results and standard underwriting rules still apply.
Do These Limits Apply to FHA Loans?
No. FHA establishes separate county loan limits. Although the numbers may be related to local housing costs, FHA limits should be checked independently.
How Do These Limits Affect VA Loans?
Veterans with full VA entitlement do not have a VA-imposed county loan limit. The borrower must still qualify with the lender, and the appraisal must support the transaction.
County limits remain important for Veterans using remaining entitlement because the one-unit conforming limit is part of the calculation used to determine the available VA guaranty and whether a down payment may be required.
Conforming or Jumbo: Which Is Better?
The answer depends on the borrower and the market. A conforming loan may offer a lower down payment or more flexible guidelines, while a jumbo program may provide competitive pricing or a structure that better fits a larger purchase.
In some cases, it is worth comparing:
- A conforming loan with a larger down payment
- A single jumbo first mortgage
- A conforming first mortgage combined with eligible secondary financing
- Different purchase prices or property locations
Planning a Purchase in Maryland, DC or Virginia?
The Chris Jordan Mortgage Team can confirm the applicable county loan limit, compare conforming and jumbo options, and provide a detailed estimate of the monthly payment and total cash required.
Questions about the 2026 conforming loan limits?
Call us at (240) 670-5090 or email us at CJMT@mainstreethl.com.
Ready to explore your options? Start your prequalification online.
Loan limits and mortgage guidelines are subject to change. Loan approval is subject to borrower, property and program eligibility requirements.
