2019 FHA Loan Limits in Massachusetts
FHA loan limits in Massachusetts can vary widely, depending on the part of the state. For example, in the central Massachusetts city of Greenfield, the current FHA loan limit on a single-family home is $314,827, which is also the largest loan the agency will insure in most of the U.S.
By contrast, the limit for the same type of home is $688,850 in Boston-area cities, such as Cambridge and Newton, and $726,525 on the island of Nantucket.
Overall, Massachusetts remains one of the most expensive states for housing in the United States. Housing can be relatively affordable in the western half of the state but generally runs much higher in the east, especially in cities such as Boston, Lexington, Newton and Brookline.
According to the Massachusetts Association of Realtors (MAR), the median sales price was $397,500 for all single-family homes that closed in 2018. By contrast, the National Association of Realtors estimates the typical price for a home in the U.S. was $235,000 during the third quarter of 2018.
Rising prices — coupled with too few homes for sale — caused the share of first-time homebuyers to fall to 40% in 2018 from 42% a year earlier, according to a recent MAR study. That said, the number of first-timers in Massachusetts still beat the 33% share nationwide.
The good news is incomes are also generally higher in Massachusetts. In 2017, the U.S. median household income was $57,652, but it was $74,167 in Massachusetts, according to the U.S. Census Bureau.
For now, Massachusetts has a relatively low number of homebuyers who take advantage of FHA loans. In 2018, the FHA reported to Congress that Massachusetts borrowers made up just 1.44% of FHA borrowers nationwide.
Massachusetts FHA loan limits by county
| FHA Loan Limits in Massachusetts | |||||
| County | Single-Family Limit | Two-Family Limit | Three-Family Limit | Four-Family Limit | Median Sale Price |
| Barnstable | $458,850 | $587,400 | $710,050 | $882,400 | $399,000 |
| Berkshire | $314,827 | $403,125 | $487,250 | $605,525 | $195,000 |
| Bristol | $454,250 | $581,500 | $702,900 | $873,550 | $395,000 |
| Dukes | $726,525 | $930,300 | $1,124,475 | $1,397,400 | $729,000 |
| Essex | $688,850 | $881,850 | $1,065,950 | $1,324,750 | $599,000 |
| Franklin | $314,827 | $403,125 | $487,250 | $605,525 | $205,000 |
| Hampden | $318,550 | $407,800 | $492,950 | $612,600 | $277,000 |
| Hampshire | $318,550 | $407,800 | $492,950 | $612,600 | $277,000 |
| Middlesex | $688,850 | $881,850 | $1,065,950 | $1,324,750 | $599,000 |
| Nantucket | $726,525 | $930,300 | $1,124,475 | $1,397,400 | $1,363,000 |
| Norfolk | $688,850 | $881,850 | $1,065,950 | $1,324,750 | $599,000 |
| Plymouth | $688,850 | $881,850 | $1,065,950 | $1,324,750 | $599,000 |
| Suffolk | $688,850 | $881,850 | $1,065,950 | $1,324,750 | $599,000 |
| Worcester | $327,750 | $419,550 | $507,150 | $630,300 | $285,000 |
How are FHA loan limits determined?
The U.S. Department of Housing and Urban Development (HUD) sets FHA loan limits based on the conforming loan limit — or how large of a mortgage Fannie Mae and Freddie Mac will insure. In 2019, that limit is $484,350.
The FHA “floor” is the largest mortgage the agency will insure in most of the country and is set at $314,827 for 2019. The FHA “ceiling” applies to high-cost areas and is set at 150% of the conforming loan limit, or $726,525. Outside of a few exceptions, this is the highest mortgage the agency will insure for a single-family home. In other areas, loan limits fall somewhere between the FHA floor and ceiling.
Here are the 2019 standard FHA limits for all property types:
- One-unit: $314,827
- Two-unit: $403,125
- Three-unit: $487,250
- Four-unit: $605,525
Here are the 2019 standard FHA limits for high-cost areas:
- One-unit: $726,525
- Two-unit: $930,300
- Three-unit: $1,124,475
- Four-unit: $1,397,400
Do you qualify for an FHA in Massachusetts?
FHA loans have relatively low requirements for both credit scores and down payments, so they’re a desirable buying option for many consumers. To see what the FHA loan limits are in your area, go to the FHA loan limit website. Also visit our FHA page, which lists current loan rates and requirements and offers rate comparisons.
