LOS ANGELES (Nov. 26) – The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) today issued the following statement in response to the Federal Housing Finance Agency’s (FHFA) announcement to keep the 2014 maximum conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac at $417,000 on one-unit properties in most areas and a cap of $625,500 in high-cost areas:
“C.A.R. applauds the FHFA for keeping with the law and retaining the existing Fannie Mae and Freddie Mac conforming loan limits,” said C.A.R. President Kevin Brown. “The FHFA recognizes that home prices have rebounded in California, especially in the high-cost areas, where lowering the loan limits would have reversed the housing recovery. Retaining the higher loan limits is critical to providing liquidity in today’s housing market and is essential to a full housing recovery.”
Earlier this year, the FHFA announced its intention of lowering the loan limits. Since then, C.A.R. and the NATIONAL ASSOCIATION OF REALTORS® (NAR) aggressively fought to prevent a reduction in the loan limits. C.A.R. and NAR both have long advocated for making higher conforming loan limits permanent. As a result of C.A.R.’s and NAR’s efforts, Congress made permanent the maximum conforming loan limits at $625,500.
This news was reported by the CALIFORNIA ASSOCIATION OF REALTORS. Leading the way…® in California real estate for more than 100 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States, with more than 155,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.