The Housing and Economic Recovery Act of 2008 (HERA) established the baseline loan limit of $417,000 and requires this limit to be adjusted each year to reflect the changes in the national average home price.
Effective immediately, PennyMac is aligning with the conforming loan limit increases for standard and high balance loans, as announced by Fannie Mae and Freddie Mac.
In most areas, the 1-unit standard balance limit is increasing from $548,250 to $647,200 and the 1-unit high balance limit is increasing from $822,375 to $970,800. Loan amounts vary by area and unit, with complete details located at: https://www.fhfa.gov/DataTools/Downloads/Pages/Conforming-Loan-Limit.aspx
PennyMac will accept DU or LPA Approve/Ineligible decisions, when the “ineligible” result is solely due to the loan amount being in excess of the 2021 limits, but is within the 2022 limits.
Please contact your Sales Representative with any questions.