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2019 FHA Loan Limits in New Jersey

Depending on where you live in New Jersey, you can get an FHA loan for a single-family home of up to $314,827 all the way up to $726,525 in high-cost areas.

If you’re a New Jersey resident looking to buy a home using an FHA loan, you’re in good company. A 2016 FHA report (the latest for which this data is available) noted that 25.1% of mortgage loans originated in the state were FHA loans. In fiscal year 2016, 33,457 of these loans were made for a total of $8.4 billion. A 2018 FHA report found that 2.8% of FHA loans made nationwide originated in New Jersey.

New Jersey has a population of just under 9 million, according to a 2018 Census estimation. The state contains many metropolitan areas surrounded by smaller towns and cities, and it has 21 counties with widely ranging median home prices.

For example, Cumberland County features a median home sales price of $130,000, while this number rises to $1,045,000 in high-cost areas, including Bergen and Essex counties. The range of FHA loan limits, thus, is also wide.

New Jersey FHA loan limits by county

FHA Loan Limits in New Jersey
County Single-Family Limit Two-Family Limit Three-Family Limit Four-Family Limit Median Sale Price
Atlantic $316,250 $404,850 $489,350 $608,150 $190,000
Bergen $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Burlington $402,500 $515,250 $622,850 $774,050 $350,000
Camden $402,500 $515,250 $622,850 $774,050 $350,000
Cape May $414,000 $530,000 $640,650 $796,150 $324,000
Cumberland $314,827 $403,125 $487,250 $605,525 $130,000
Essex $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Gloucester $402,500 $515,250 $622,850 $774,050 $350,000
Hudson $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Hunterdon $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Mercer $345,000 $441,650 $533,850 $663,450 $233,000
Middlesex $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Monmouth $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Morris $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Ocean $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Passaic $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Salem $402,500 $515,250 $622,850 $774,050 $350,000
Somerset $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Sussex $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Union $726,525 $930,300 $1,124,475 $1,397,400 $1,045,000
Warren $372,600 $477,000 $576,550 $716,550 $220,000

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 purchase. 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 loan in New Jersey?

FHA loans can be a good option if you’re shopping for a home and have a less-than-ideal credit score and/or not much cash for a down payment. You’ll need a minimum credit score of 500 to qualify for an FHA loan, but if your score is below 580, you’ll also need a down payment of at least 10%. To learn more about qualifying for an FHA loan and get other information about the process, visit LendingTree’s main FHA page.

 

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