2019 FHA Loan Limits in New Jersey

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Updated on Friday, April 5, 2019

If you’re looking to buy property in New Jersey, you should know that the Garden State is somewhat of a tale of two areas: large cities such as Newark, Trenton, Jersey City, Paterson and Elizabeth, and more rural areas such as Salem County, the most lightly populated county in the state.

In New Jersey, the range of Federal Housing Administration (FHA) loan limits for a single-family home starts at $314,827 in the Vineland-Bridgeton region, and rises to $726,525 in most of the rest of the state. In fiscal year 2016, the latest data available, 33,457 FHA loans were approved in New Jersey, totaling $8.4 billion in volume. New Jersey ranked 25th among U.S. states, Washington, D.C., and Puerto Rico in the number of FHA loans granted that fiscal year, comprising one-quarter of all loans in the state then, or 17,678 of 770,461 total mortgage loans.

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The FHA sets and adjusts annually conforming loan limits to delineate the range of loan costs the agency will fund.

New Jersey loan limits by county

County NameOne-FamilyTwo-FamilyThree-FamilyFour-FamilyMedian 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 set?

The monetary loan limits for FHA loans are set annually by the U.S. Department of Housing and Urban Development, or HUD. The minimum loan limit is known as a “floor,” while the maximum loan limit is known as a “ceiling;” the floor is the maximum that FHA will insure in most parts of the country, while the ceiling is the most that the FHA will insure in high-cost areas.

HUD bases these limits on the baseline national conforming loan limit, which determines the size of a loan that Fannie Mae and Freddie Mac are willing to buy. In 2019, that figure starts at $484,350. With that in mind, remember that the floor is set at 65% of the baseline, which in 2019 is $314,827.

Do you qualify for an FHA loan in New Jersey?

Now that you’ve found out a little bit more about the basics of FHA loans in New Jersey, it’s time to see if you qualify for one. As you’re preparing to do this, remember that you need to gather your documentation, which includes pay stubs, bank statements, tax returns, W-2s and any and all papers that testify to your financial picture and, ultimately, your ability to repay the loan.

This is also the time for you to research everything surrounding your pending home purchase — up to and certainly including home financing information. Visit LendingTree’s FHA page, which lists current loan rates and can equip you to get competing rates in a matter of minutes. (LendingTree is MagnifyMoney’s parent company.)

Also, be sure to pull your current credit report so that you have an accurate understanding of your financial picture. You can do this for free at AnnualCreditReport.com. There is no downside to having a better grip on your credit history — and, in fact, it’s essential as you attempt to purchase a new home.

Good luck as you move forward in the process of finding your perfect place!