FHFA has announced that the conforming loan limits for 2021 will increase to $548,250. (Find the original announcement here.) CBCMA always follows Agency guidelines with regards to loan limits; conventional loans at or under this limit may qualify for Chenoa Fund down payment assistance, provided they meet Chenoa Fund’s other requirements. Conventional high balance loans, however, will not.
When FHA announces updated loan limits, CBCMA will follow these limits as well, although Chenoa Fund accepts high balance FHA loans in addition to FHA loans that meet FHA’s loan limits.
What does this mean for borrowers? For many borrowers, this won’t change anything, unless your loan was already just above the loan limit. However, for borrowers that were just above the previous limit, this is great news, as they now have access to better interest rates and Chenoa Fund down payment assistance.
If you’re looking to purchase a home that now meets FHFA’s conforming loan limits and would like financial assistance, consider Chenoa Fund. Chenoa Fund is offered in every state except for New York, providing exemplary service to borrowers in need of down payment and closing cost assistance. Because Chenoa Fund works through lenders nationwide, your lender might already be able to offer you Chenoa Fund—you can ask your loan officer to find out.
Conventional Offerings
Chenoa Fund offers 3.5% assistance for Conventional 97 and HomeReady conventional loans. That’s enough assistance to cover the minimum down payment required for a conventional loan and to provide a little help with closing costs. With FHFA’s new conforming loan limits, even more borrowers can take advantage of our low interest rates to retain their savings and get into their dream home.
FHA Offerings
Chenoa Fund has many down payment assistance options for FHA loans, most of which provide 3.5% assistance, the exact amount necessary to cover a minimum down payment. However, Chenoa Fund’s Rate Advantage product also has a 5% assistance option, allowing the loan to help cover closing costs. With a forgivable loan offered through the DPA Edge product, Chenoa Fund’s line of FHA offerings are flexible enough to meet the needs of almost any borrower.
Reach out to our Information Desk at info@chenoafund.org to learn more!
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