Conforming Loan Limits for Massachusetts - 2019

What is a Fannie Mae and Freddie Mac?

Nice house
Congress created the Federal National Mortgage Association in 1938 to kick start the flailing housing industry. In 1970, the federal government created the Federal National Mortgage Corporation (Freddie Mac) to compete with Fannie Mae hoping reducing interest rates. Fannie Mae and Freddie Mac are private corporations. You can acquire stock in these corporations just like you can with other corporations; the difference between these corporations and other corporations is that they are protected by the Federal government from default. Fannie Mae and Freddie Mac purchase mortgages from the banks. I n this way, banks are able to deliver unlimited amounts of money for home buyers. Fannie Mae and Freddie Mac then bundle mortgages, (commonly known as “securitization”) and ultimately sell these securities to investors. You can read more about the history of Fannie Mae and Freddie Mac on Wikipedia.

What is a conventional mortgage?

With a little history out of the way, mortgages which will be sold to either Fannie Mae or Freddie Mac are called conventional loans. In short, if the mortgage is not an FHA, VA (Veteran’s mortgage) or USDA (United States Department of Agriculture) loan, it’s probably a conventional loan. FHA, VA and USDA mortgage loans are either insured or guaranteed by the Federal government.

2019 Conforming loan limits

Fannie Mae and Freddie Mac have lending limits, see below. Mortgages at or below these limits are called “conforming” loans, because they conform to the lending limit. Mortgages greater than these limits are called non-conforming or jumbo loans. Almost all US counties have a maximum mortgage limit of $484,350 for a single family home, ($620,200) for two units, ($749,650) for three units & ($931,600) for four units. These limits are applicable for purchase and refinance mortgage loans.

Some US counties surpass the standard loan amounts. These loans are commonly known as as conforming jumbo loans since they conform to the Fannie Mae and Freddie Mac lending limit, although they exceed the typical limit.

2019 Conforming Loan Limits for Massachusetts

One-Unit is a single family home or condominium
Two-Unit is two separate living units (duplex)
Three-Unit three separate living units (triplex)
Four-Unit  four separate living units (fourplex)

County Name One-Unit Limit Two-Unit Limit Three-Unit Limit Four-Unit Limit
BARNSTABLE 484,350 620,200 749,650 931,600
BERKSHIRE 484,350 620,200 749,650 931,600
BRISTOL 484,350 620,200 749,650 931,600
DUKES 726,525 930,300 1,124,475 1,397,400
ESSEX 688,850 881,850 1,065,950 1,324,750
FRANKLIN 484,350 620,200 749,650 931,600
HAMPDEN 484,350 620,200 749,650 931,600
HAMPSHIRE 484,350 620,200 749,650 931,600
MIDDLESEX 688,850 881,850 1,065,950 1,324,750
NANTUCKET 726,525 930,300 1,124,475 1,397,400
NORFOLK 688,850 881,850 1,065,950 1,324,750
PLYMOUTH 688,850 881,850 1,065,950 1,324,750
SUFFOLK 688,850 881,850 1,065,950 1,324,750
WORCESTER 484,350 620,200 749,650 931,600