What are the procedures for requesting increases in the FHA Single Family Mortgage Limits in my area?
The procedures set forth in Mortgagee Letter 2007-01 for increases to FHA loan limits are suspended and current guidance is outlined in Mortgagee Letter 10-40, dated December 1, 2010. Under the provisions of the Emergency Economic Stimulus Act (EESA), HUD determined that changes to the appeal process were necessary and initiated a single 30-day appeal period, after which loan limits would be fixed for the duration of the year. Because of the nature of forward sales of loans to Fannie Mae and Freddie Mac, lenders needed this stability. HUD continues with this revised appeal process and received favorable responses from FHA lenders. The deadline for increases to the 2010 loan limits is December 20, 2010. Requests must meet the criteria set forth in ML 10-40 and submitted to the Santa Ana Homeownership Center for processing. For further information, review the current Mortgagee Letter 2009-50.
