Maximum FHA Loan Calculator
Enter the price, seller credits, appraisal, credit score, and county limit. On the default $350,000.00 purchase, FHA insures a $328,100.00 base loan ($333,841.00 total loan).
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Maximum FHA base loan, financed UFMIP, and cash to purchase
Maximum Base Loan Amount
$328,100.00
Total Loan With Financed Upfront MIP
$333,841.00
Your max FHA base loan is $328,100.00. Adding $5,741.00 of the $5,741.75 upfront fee (1.75%) gives a $333,841.00 total loan. $0.75 of UFMIP under $1.00 is paid in cash.
The $350,000.00 price less $5,000.00 of inducements is $345,000.00. The lower $340,000.00 appraisal sets Adjusted Value at $340,000.00.
At 96.50% max LTV, the whole-dollar LTV cap is $328,100.00. That is $213,187.00 below the $541,287.00 county limit, so LTV sets the base loan.
The price less base loan is $21,900.00. That is $10,000.00 of price above Adjusted Value plus $11,900.00 of Adjusted Value that the loan does not cover, which equals the 3.50% minimum cash investment. Seller credits are not inducements only up to 6.00% of the price ($21,000.00) and only up to your real closing costs, prepaids, and points. The 30-year annual MIP is 55 bps (about $150.38/mo in year 1) for the full mortgage term.
Purchase price, appraisal, borrower profile, and county limit
- price less inducements = $350,000.00 − $5,000.00 = $345,000.00
- adjusted value = min($345,000.00, $340,000.00) = $340,000.00
- LTV cap = floor(96.50% × $340,000.00) = $328,100.00
- max base loan = min($541,287.00, $328,100.00) = $328,100.00
- 1.75% UFMIP = $5,741.75 ($5,741.00 financed, $0.75 cash)
- total loan = $328,100.00 + $5,741.00 = $333,841.00
Maximum base loan, total loan, and buyer price gap by HUD LTV tier
2026 HUD mortgage limits compared with your maximum base loan
Maximum FHA loan across all four HUD credit-score and transaction LTV tiers
| HUD underwriting tier | Max LTV | Whole-dollar LTV cap | Max base loan | 1.75% UFMIP | Total loan with UFMIP | Price less base loan | 30-yr annual MIP term |
|---|---|---|---|---|---|---|---|
| Standard or 1-unit family co-borrower, score 580+ (96.50% LTV) | 96.50% | $328,100.00 | $328,100.00 | $5,741.75 | $333,841.00 | $21,900.00 | Full mortgage term |
| Score 500 to 579, standard or 1-unit family (90.00% LTV) | 90.00% | $306,000.00 | $306,000.00 | $5,355.00 | $311,355.00 | $44,000.00 | 11 years |
| Identity-of-interest or tenant purchase without exception (85.00% LTV) | 85.00% | $289,000.00 | $289,000.00 | $5,057.50 | $294,057.00 | $61,000.00 | 11 years |
| Non-occupying co-borrower, general rule or 2–4 unit (75.00% LTV) | 75.00% | $255,000.00 | $255,000.00 | $4,462.50 | $259,462.00 | $95,000.00 | 11 years |
On your $340,000.00 Adjusted Value and $541,287.00 county limit, the max base loan spans $255,000.00 (75.00% LTV) to $328,100.00 (96.50% LTV), a $73,100.00 spread. At 90.00% LTV or less, 30-year MIP stops after 11 years.
2026 HUD nationwide forward mortgage limits vs. your property (ML 2025-23)
| 2026 HUD limit benchmark | FHA mortgage limit | Adjusted value to hit limit | Max base loan on your home | Total loan with UFMIP | Binding cap on your home |
|---|---|---|---|---|---|
| Your entered county limit | $541,287.00 | $560,919.18 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 1-unit low-cost floor (ML 2025-23) | $541,287.00 | $560,919.18 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 2-unit low-cost floor (ML 2025-23) | $693,050.00 | $718,186.53 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 3-unit low-cost floor (ML 2025-23) | $837,700.00 | $868,082.91 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 4-unit low-cost floor (ML 2025-23) | $1,041,125.00 | $1,078,886.02 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 1-unit high-cost ceiling (ML 2025-23) | $1,249,125.00 | $1,294,430.06 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 1-unit AK / HI / GU / VI ceiling (ML 2025-23) | $1,873,625.00 | $1,941,580.32 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 4-unit high-cost ceiling (ML 2025-23) | $2,402,625.00 | $2,489,766.84 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
| 2026 4-unit AK / HI / GU / VI ceiling (ML 2025-23) | $3,603,925.00 | $3,734,637.31 | $328,100.00 | $333,841.00 | LTV cap on adjusted value |
Your $328,100.00 LTV cap is at or below every row in the table. The max base loan on your home stays at $328,100.00 across all nine rows while the FHA limit column spans $541,287.00 to $3,603,925.00. Reaching your $541,287.00 county limit at 96.50% LTV takes an Adjusted Value of $560,919.18.
Maximum loan for each appraised value
Across appraisals from $260,000.00 to $420,000.00 on a $350,000.00 price ($5,000.00 of inducements, a 580+ credit score (up to 96.50% LTV), a standard principal home purchase, $541,287.00 county limit), the max base loan spans $250,900.00 to $332,925.00 and the price gap spans $17,075.00 to $99,100.00.
| Appraised value | Adjusted value | Base loan | Total loan | Price less base loan |
|---|---|---|---|---|
| $260,000 | $260,000.00 | $250,900.00 | $255,290.00 | $99,100.00 |
| $280,000 | $280,000.00 | $270,200.00 | $274,928.00 | $79,800.00 |
| $300,000 | $300,000.00 | $289,500.00 | $294,566.00 | $60,500.00 |
| $320,000 | $320,000.00 | $308,800.00 | $314,204.00 | $41,200.00 |
| $340,000 (closest to your input) | $340,000.00 | $328,100.00 | $333,841.00 | $21,900.00 |
| $350,000 | $345,000.00 | $332,925.00 | $338,751.00 | $17,075.00 |
| $380,000 | $345,000.00 | $332,925.00 | $338,751.00 | $17,075.00 |
| $420,000 | $345,000.00 | $332,925.00 | $338,751.00 | $17,075.00 |
Maximum base loan by appraised value (rows) and seller inducements in dollars (columns).
| Appraised Value by seller inducements to purchase | $0 | $2,500 | $5,000 | $10,000 | $15,000 |
|---|---|---|---|---|---|
| $260,000 | $250,900.00 | $250,900.00 | $250,900.00 | $250,900.00 | $250,900.00 |
| $280,000 | $270,200.00 | $270,200.00 | $270,200.00 | $270,200.00 | $270,200.00 |
| $300,000 | $289,500.00 | $289,500.00 | $289,500.00 | $289,500.00 | $289,500.00 |
| $320,000 | $308,800.00 | $308,800.00 | $308,800.00 | $308,800.00 | $308,800.00 |
| $340,000 (closest to your input) | $328,100.00 | $328,100.00 | $328,100.00 | $328,100.00 | $323,275.00 |
| $350,000 | $337,750.00 | $335,337.00 | $332,925.00 | $328,100.00 | $323,275.00 |
| $380,000 | $337,750.00 | $335,337.00 | $332,925.00 | $328,100.00 | $323,275.00 |
| $420,000 | $337,750.00 | $335,337.00 | $332,925.00 | $328,100.00 | $323,275.00 |
How HUD sizes an FHA purchase mortgage from Adjusted Value and LTV caps
HUD Handbook 4000.1 (Update 18, revised August 12, 2026) sets the FHA purchase loan rules in Section II.A.2.a. HUD states: "Under most programs, the maximum Mortgage is the lesser of the Nationwide Mortgage Limit for the area, or a percentage of the Adjusted Value." For a home purchase, Adjusted Value is the lower of the "purchase price less any inducements to purchase" or the Property Value on the FHA appraisal.
Section II.A.2.a.iv states: "The maximum mortgage amount that FHA will insure on a specific purchase is calculated by multiplying the appropriate LTV percentage by the Adjusted Value." Under Section II.A.2.b, the lender must use the lowest loan-to-value (LTV) cap that applies. A decision credit score of 580 or higher allows up to 96.50% LTV on a standard purchase. A score from 500 to 579 caps LTV at 90.00%.
How you buy the home can cut that LTV cap further. Under Section II.A.2.b.ii(A), an identity-of-interest sale or a tenant purchase without an exception is capped at 85.00% LTV. Under Section II.A.2.b.ii(B), a loan with a non-occupying co-borrower is capped at 75.00% LTV. The cap stays at 96.50% only when the co-borrowers are family members buying a one-unit home. It does not apply to a family member selling to a family member who will be a non-occupying co-borrower.
Both the county limit and the LTV cap apply to the Base Loan Amount before mortgage insurance. Section II.A.2.e.i(A) states: "The mortgage amount must be rounded down to the nearest whole dollar amount, regardless of whether the UFMIP is financed or paid in cash." FHA charges a 175 basis point (1.75%) Upfront Mortgage Insurance Premium (UFMIP). Most buyers add the whole-dollar part of the UFMIP to the loan and pay any cents under $1.00 in cash. Check your payment in the mortgage payment calculator or test income caps in the home affordability calculator.
Seller inducements to purchase vs. the 6.00% Interested Party Contribution cap
Normal seller closing credits do not cut your Adjusted Value. Section II.A.4.d.iii(G)(2) and Section II.A.5.c.iii(G)(2) state: "Interested Parties may contribute up to 6 percent of the sales price toward the Borrower’s origination fees, other closing costs, prepaid items, and Discount Points." On the default $350,000.00 price, that 6.00% cap is $21,000.00. When a seller credit stays within 6.00% of the price and within your real closing costs, prepaids, and points, it is not an inducement. Enter $0.00 in the inducements field.
Section II.A.4.d.iii(H) and Section II.A.5.c.iii(H) define Inducements to Purchase. A credit becomes an inducement when it passes 6.00% of the price or exceeds your actual closing costs, prepaids, and points. Repair allowances, decorating credits, moving costs, paying off consumer debt, and personal property are also inducements. Each dollar of inducements comes off the price before HUD compares the price with the appraisal. Price your closing fees in the closing costs calculator and check points in the mortgage points calculator.
HUD Handbook 4000.1 purchase loan and UFMIP formulas
adjustedPrice = price − inducements
adjustedValue = min(adjustedPrice, appraisedValue)
ltv = min(creditLtv, transactionLtv) ∈ {96.50%, 90.00%, 85.00%, 75.00%}
ltvCap = floor(ltv × adjustedValue) (whole dollars, HUD Handbook 4000.1 II.A.2.e.i(A))
baseLoan = min(floor(countyLimit), ltvCap)
ufmip = 1.75% × baseLoan financedUfmip = floor(ufmip) totalLoan = baseLoan + financedUfmip
mri = 3.50% × adjustedValue gap = max(0, price − baseLoan)Why your cash to the seller can exceed the 3.50% Minimum Investment (Section II.A.2.c)
Under 12 U.S.C. 1709(b)(9)(A), an FHA buyer must put in cash or its equivalent of "not less than 3.5 percent of the appraised value of the property or such larger amount as the Secretary may determine." Section II.A.2.a.iv states: "In order for FHA to insure this maximum mortgage amount, the Borrower must make a Minimum Required Investment (MRI) of at least 3.5 percent of the Adjusted Value." Under 12 U.S.C. 1709(b)(9)(C), the seller or any party that profits from the sale cannot fund the MRI. Under 12 U.S.C. 1709(b)(9)(B), amounts borrowed from a family member count as cash or its equivalent.
Old text in 24 CFR 203.18(g) still shows pre-2008 limits of 98.75% and 97.75%. Section 203.18(a)(3) shows an 85.00% cap for a hardship secondary home. Today, lenders apply the 2008 law and Section II.A.2. Because the loan is built on Adjusted Value, you must bring the equity share of Adjusted Value plus any gap between Adjusted Value and the contract price. Under 12 U.S.C. 1709(b)(9)(C), the seller cannot fund the MRI, and an inducement comes off the price before HUD compares it with the appraisal.
Worked example: $350,000.00 price, $5,000.00 inducements, and $340,000.00 appraisal
A buyer with a 620 credit score (580 or higher) signs a contract at a $350,000.00 price. The seller gives $5,000.00 in inducements above closing costs, and the home appraises at $340,000.00. The price less inducements is $345,000.00, so the lower $340,000.00 appraisal sets Adjusted Value. In a county at the 2026 one-unit floor ($541,287.00), 96.50% of $340,000.00 is $328,100.00. That is below the county limit, so $328,100.00 is the max base loan.
On that base loan, the 1.75% upfront MIP is $5,741.75. HUD adds the $5,741.00 whole dollars to the loan for a $333,841.00 total loan, and the buyer pays $0.75 in cash at closing. Under 12 U.S.C. 1709(b)(9)(A), the 3.50% Minimum Required Investment on $340,000.00 is $11,900.00. Adding the $10,000.00 gap between the $350,000.00 price and the $340,000.00 Adjusted Value leaves $21,900.00 between the price and the base loan.
2026 HUD nationwide forward mortgage limits and Appendix 1.0 annual MIP
Under 12 U.S.C. 1709(b)(2)(A), FHA sets each area’s one-unit limit at "115 percent of the median 1-family house price in the area." The law sets a 65.00% floor and a 150.00% ceiling from the Freddie Mac limit. On November 25, 2025, FHFA announced: "In most of the United States, the 2026 CLL value for one-unit properties will be $832,750, an increase of $26,250 from 2025." HUD Mortgagee Letter 2025-23 (issued December 11, 2025, effective January 1, 2026) sets the 2026 one-unit floor at $541,287.00 and the ceiling at $1,249,125.00. In Alaska, Hawaii, Guam, and the Virgin Islands, the one-unit ceiling is $1,873,625.00.
Two- to four-unit homes have higher caps under Mortgagee Letter 2025-23. For a four-unit home, the 2026 floor is $1,041,125.00, the ceiling is $2,402,625.00, and the special ceiling is $3,603,925.00. On its county loan limits answer page (Ask CFPB #1963), the CFPB notes under 12 U.S.C. 1709(b)(2): "However, to be eligible for an FHA loan, the building must have no more than four units and you must purchase the entire building." Beyond the upfront fee, HUD Mortgagee Letter 2023-05 and Appendix 1.0 charge an annual MIP paid monthly. On a 30-year loan of $726,200.00 or less, the rate is 55 bps above 95.00% LTV and 50 bps at or below 95.00% LTV (75 bps and 70 bps above $726,200.00). At 90.00% LTV or less, annual MIP ends after 11 years. Above 90.00% LTV, it runs for the full term. Veterans can compare zero-down tiers in the VA loan entitlement calculator, or view paydown in the loan amortization calculator.
Assumptions, Handbook 4000.1 Section II.A.2 scope, and limits
- This tool uses HUD Single Family Handbook Update 18 (August 12, 2026), Section II.A.2.a–e, Section II.A.4/II.A.5, and Appendix 1.0 (Mortgagee Letter 2023-05, March 20, 2023). It also follows 12 U.S.C. 1709(b)(2) and (b)(9). Old rules in 24 CFR 203.18(g) still print pre-2008 limits, so we use the live law and handbook caps.
- The $541,287.00 default is the 2026 one-unit floor from HUD Mortgagee Letter 2025-23 (December 11, 2025; starts January 1, 2026). Enter your local limit from HUD's lookup tool for a higher-cost county or a two- to four-unit home.
- With a non-occupying family co-borrower, Section II.A.2.b.ii(B)(2) allows 96.50% LTV only on a one-unit home. HUD excludes a family member selling to a family member who will be a non-occupying co-borrower. Use the 75.00% option for that sale. For a two- to four-unit home with a family co-borrower, pick the 75.00% option.
- We model standard forward home purchases only. We do not model FHA refinances, Section 203(k) rehab loans, solar or wind 20.00% limit boosts, repair add-ons, Section 247 or 248 loans, debt-to-income caps, or lender overlays.
These figures are estimates for learning and planning, not financial, tax, legal or investment advice. Terms of use.
How to act on your FHA loan ceiling before you sign a contract
Keep seller credits within your real closing costs and the 6.00% cap ($21,000.00 on a $350,000.00 price). On the defaults, if the home appraises at $350,000.00, turning the $5,000.00 inducement into an allowed closing credit raises the base loan by $4,825.00 (from $332,925.00 to $337,750.00).
Plan for any low appraisal in cash before you waive an appraisal clause. On the defaults, each $10,000.00 drop in the appraisal below $345,000.00 cuts the 96.50% base loan by $9,650.00. That adds $9,650.00 to your cash at closing.
Weigh a 10.00% down payment if you will keep a 30-year loan past 11 years. Stepping down to the $306,000.00 loan tier cuts first-year monthly MIP from about $150.38/mo (55 bps) to about $127.50/mo (50 bps) and ends annual MIP after 11 years. Compare 15-year and 30-year loans in the mortgage term comparison calculator and check APR in the loan APR calculator.
Frequently asked questions
What is the maximum FHA loan amount in 2026?
Under HUD Mortgagee Letter 2025-23 (effective January 1, 2026), the 2026 one-unit limit is $541,287.00 in low-cost areas and up to $1,249,125.00 in high-cost continental areas. Multi-unit properties have higher 2026 low-cost floors of $693,050.00 for a duplex and $837,700.00 for a triplex (and high-cost ceilings of $1,599,375.00 and $1,933,200.00). Your base loan is the lower of your county limit or your LTV cap on Adjusted Value.
Does the 1.75% upfront MIP count against the FHA county loan limit?
No. Section II.A.2.e.i(A) states: "The UFMIP is not considered when calculating the area-based Nationwide Mortgage Limits and LTV limits." On a $600,000.00 price and appraisal at the $541,287.00 one-unit floor, the base loan is $541,287.00. Adding the $9,472.00 whole dollars of the $9,472.52 UFMIP gives a $550,759.00 total loan.
Why does a seller credit reduce my maximum FHA loan?
A seller credit toward your real closing costs, prepaids, and discount points up to 6.00% of the price ($21,000.00 on $350,000.00) is an allowed Interested Party Contribution. It does not cut your loan. Only the part of a credit above 6.00% of the price or above your real closing costs is an Inducement to Purchase. Repair credits and personal property are also inducements that cut Adjusted Value dollar-for-dollar.
How does a credit score between 500 and 579 change the maximum FHA loan?
Under Section II.A.2.b.i, a decision credit score in that lower band reduces the purchase LTV ceiling by 6.50% of Adjusted Value. On the default $340,000.00 Adjusted Value, the base loan drops by $22,100.00 to $306,000.00 ($311,355.00 total loan with financed UFMIP), and the buyer's price-less-loan cash gap rises to $44,000.00.
Why is the cash gap to the purchase price larger than the 3.50% Minimum Investment?
Under 12 U.S.C. 1709(b)(9)(A) and Section II.A.2.c.ii, the 3.50% Minimum Required Investment is based on Adjusted Value, not the contract price. When the contract price exceeds Adjusted Value because of a lower appraisal or seller inducements, the buyer must also pay that difference in cash. For example, on a $400,000.00 contract price with $0.00 of inducements and a $380,000.00 appraisal, the $366,700.00 base loan leaves a $13,300.00 MRI plus a $20,000.00 appraisal gap, or $33,300.00 in total.
Can a non-occupying co-borrower still get 96.50% LTV on an FHA purchase?
Yes, but only on a one-unit home when the co-borrowers are family members. The exception does not cover a family member selling to a family member who will be a non-occupying co-borrower. Under Section II.A.2.b.ii(B)(2), all other non-occupying co-borrower purchases—including any two- to four-unit home—are capped at 75.00% LTV ($255,000.00 base loan on a $340,000.00 Adjusted Value).
Sources
- HUD Handbook 4000.1, FHA Single Family Housing Policy Handbook (Update 18) (form dated Aug 12, 2026)
- HUD Mortgagee Letter 2025-23, 2026 Nationwide Forward Mortgage Loan Limits (form dated Dec 11, 2025)
- HUD Mortgagee Letter 2023-05, Reduction of FHA Annual Mortgage Insurance Premium Rates (form dated Feb 22, 2023)
- 12 U.S.C. 1709, Insurance of mortgages (National Housing Act Section 203) (current version)
- 24 CFR 203.18, Maximum mortgage amounts (current version)
- FHFA, FHFA Announces Conforming Loan Limit Values for 2026 (page modified Nov 25, 2025)
- CFPB, FHA loans (page modified Jun 30, 2025)
- CFPB, What are the FHA loan limits for my county? (page reviewed Jan 2, 2025)
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