Economic Stimulus Package and Mortgages

We have a lot of clients who are asking about the impact of the new stimulus package signed last week by President Bush on mortgages.  The press has been reporting this as if everyone will see an increase in the conforming loan limit from the $417,000 that we have been sitting at for the past few years.  This is simply not the case.

For the vast majority of the US, the limit will continue to be $417,000.  Only certain high cost areas (as determined by the HUD median sales price) will see an increase in the conforming limit.  HUD has not yet released the final numbers, but we should see the final numbers in the next couple of weeks.  For those of us in Georgia (including metro Atlanta), the conforming mortgage limit appears very unlikely to be increased in any part of the state.