What are FHA Loan Limits For One To Four Unit Properties

This ARTICLE On What Are The FHA Loan Limits For One To Four Unit Properties In Illinois Was PUBLISHED On May 11th, 2020

FHA Loan Limits for one to four unit properties depends on the particular county the property is located as well as the type of housing.

  • FHA Loan Limits for two to four unit properties have higher loan limits than single family properties such as single family homes, condominiums, and town homes
  • Illinois is somewhat different than any other states for home buyers
  • Property taxes are paid in arrears in Illinois and home buyers will get property tax prorations by home sellers when buying a home

In this article, we will discuss and cover What Are The FHA Loan Limits For One To Four Unit Properties In Illinois.

Maximum Loan Amount Home Buyers Can Borrow

Home buyers considering buying a home in Illinois with a government or Conventional Loan, there are maximum loan limits they can borrow.

  • In this article, we will discuss FHA Loan Limits for one to four unit properties
  • We will also discuss and cover the maximum amount a home buyer can borrow with a FHA Loan for a home purchase in Illinois
  • FHA Loan Limits for one to four unit properties are the amount of home loan a borrower can borrow using a FHA Loan
  • HUD, the parent of the Federal Housing Administration sets the FHA Loan Limits for one to four unit properties depending on the county the property is located
  • FHA Loan Limits for one to four unit properties is not the same throughout Illinois
  • The state of Illinois consists of a total of 102 counties
  • Illinois has three separate FHA Loan Limits
  • Home buyers who plan on purchasing higher priced homes with FHA Loans in Illinois should check what the maximum loan limits for the county they plan on making a home purchase offer

FHA Loan Limits For One To Four Unit Properties In Chicago And Surrounding Suburbs

The City of Chicago the second largest city in the United States and the biggest city in the state of Illinois. Homes in the city of Chicago and suburbs are priced higher than the rest of Illinois. HUD realizes the fact that Chicago and its surrounding counties have much higher home values so they consider it a high cost area where FHA Loan Limits are substantially higher than the rest of the state. Chicago and its surrounding counties have FHA Loan Limits capped at $368,000 for single family units. single family units are the following:

  • Single Family Homes
  • FHA approved condominiums
  • Townhomes

Here are the following counties with FHA Loan Limits Illinois of $368,000 for single family homes:

  1. Cook County
  2. McHenry County
  3. DeKalb County
  4. Kendall County
  5. Grundy County
  6. DuPage County
  7. Will County
  8. Lake County
  9. Kane County

Cook County is the home of the City of Chicago and by far the most populous county in Illinois. Cook County has the highest concentration of two to four unit properties out of all counties in Illinois.

Boone County And Winnebago County Illinois

Two Illinois counties in northern Illinois bordering the state of Wisconsin are the following:

  • Winnebago County
  • Boone County
  • Boone County and Winnebago County are sister Illinois counties because they are next to each other
  • FHA Loan Limits in Boone County Illinois and Winnebago County Illinois is capped at $339,250 on single family units

FHA Loan Limits Of Remaining Counties Of Illinois

Illinois has 102 Counties and the remaining 91 counties of Illinois has the standard FHA Loan Limit of $331,760 on single family homes, condos, and town homes.

  • Two to four unit properties have higher loan limits
  • FHA is does not lend to borrowers. FHA’s function is to insure mortgage loans that meet FHA Guidelines to lenders who originate and lend home loans that meet FHA Guidelines in the event borrowers default on their FHA Loans and go into foreclosure

FHA Loan Limits For One To Four Unit Properties On All Illinois Counties

Below are the nine highest cost areas of Illinois:

  • For the above nine counties the loan limit for a single family unit is $368,000
  • For the above nine counties surrounding Chicago, the FHA Loan Limit For a two unit property is $471,100
  • For the above nine counties surrounding Chicago, the FHA Loan Limit For a three unit property is $569,450
  • For the above nine counties bordering Chicago, the FHA Loan Limit For a four unit property is $707,700
  1. Cook County
  2. McHenry County
  3. DeKalb County
  4. Kendall County
  5. Grundy County
  6. DuPage County
  7. Will County
  8. Lake County
  9. Kane County

Below are the two medium cost areas of Illinois

  • For the above nine counties the loan limit for a single family unit is $368,000
  • For the above nine counties surrounding Chicago, the FHA Loan Limit For a two unit property is $471,100
  • For the above nine counties surrounding Chicago, the FHA Loan Limit For a three unit property is $569,450
  • For the above nine counties surrounding Chicago, the FHA Loan Limit For a four unit property is $707,700
  1. Boone County
  2. Winnebago County

Below are the rest of the counties of Illinois and their FHA Loan Limits For One To Four Unit Properties

What Are The FHA Loan Limits For One To Four Unit Properties In Illinois
  • The loan limit for a single family unit is $331,760
  • FHA Loan Limit For a two unit property is $424,800
  • FHA Loan Limit For a three unit property is $513,450
  • FHA Loan Limit For a four unit property is $638,100
  1. Adams County
  2. Alexander County
  3. Bond County
  4. Brown County
  5. Bureau County
  6. Calhoun County
  7. Carroll County
  8. Cass County
  9. Champaign County
  10. Clay County
  11. Christian County
  12. Clark County
  13. Clinton County
  14. Coles County
  15. Crawford County
  16. Cumberland County
  17. DeWitt County
  18. Douglas County
  19. Edgar County
  20. Edwards County
  21. Effingham County
  22. Fayette County
  23. Ford County
  24. Franklin County
  25. Fulton County
  26. Gallatin County
  27. Greene County
  28. Hancock County
  29. Hamilton County
  30. Hardin County
  31. Henderson County
  32. Henry County
  33. Iroquois County
  34. Jackson County
  35. Jasper County
  36. Jefferson County
  37. Jersey County
  38. Jo Daviess County
  39. Johnson County
  40. Kankakee County
  41. Knox County
  42. LaSalle County
  43. Lawrence County
  44. Lee County
  45. Lincoln County
  46. Logan County
  47. Livingston County
  48. Macon County
  49. Macomb County
  50. Macoupin County
  51. Madison County
  52. Massac County
  53. Marion County
  54. Marshall County
  55. Mason County
  56. McDonough County
  57. McLean County
  58. Menard County
  59. Mercer County
  60. Monroe County
  61. Montgomery County
  62. Morgan County
  63. Moultrie County
  64. Ogle County
  65. Peoria County
  66. Perry County
  67. Pike County
  68. Platt County
  69. Pope County
  70. Putnam County
  71. Pulaski County
  72. Randolph County
  73. Rock Island County
  74. Saline County
  75. Sangamon County
  76. Schyler County
  77. Scott County
  78. Shelby County
  79. St. Clair County
  80. Stark County
  81. Stephenson County
  82. Tazewell County
  83. Union County
  84. Vermilion County
  85. Wabash County
  86. Warren County
  87. Washington County
  88. Wayne County
  89. White County
  90. Whiteside County
  91. Williamson County
  92. Woodford County

Qualifying For 2 To 4 Unit FHA Mortgage Loans

Chicago has the most concentration of two to four unit properties. Buying a two to four unit property as an owner occupant property is allowed with 3.5% down payment.

Here is the FHA Loan qualification requirements for 2 to 4 unit property mortgage loans

  • 3.5% down payment
  • 580 credit scores
  • All FHA Guidelines applies
  • 6% sellers concessions allowed by sellers for buyer’s closing costs
  • Reserves may be required
  • 85% of rental income can be used as qualifying income
  • Conventional Loans require 15% down payment on owner occupant 2 to 4 unit mortgage loans

Buyers of 2 to 4 unit properties can contact Gustan Cho Associates at 800-900-8569 or text us for a faster response to get qualified for 2 to 4 unit mortgage loans . Borrowers can also email their mortgage inquiry at gcho@gustancho.com.

Gustan Cho NMLS 873293 is the National Managing Director of NEXA Mortgage, LLC dba as Gustan Cho Associates NMLS 1657322. Gustan Cho and his team of loan officers are licensed in multiple states. Over 75% of the borrowers of Gustan Cho Associates (Gustan Cho Associates) are folks who could not qualify at other lenders due their lender overlays on government and conventional loans. Many mortgage borrowers and real estate professionals do not realize a mortgage company like Gustan Cho Associates exists. We have a national reputation of being a one-stop mortgage company due to not just being a mortgage company with no lender overlays but also offering dozens of non-QM and alternative financing loan programs. Any non-QM mortgage loan program available in the market will be offered by the team at Gustan Cho Associates. Our team of support and licensed personnel is available 7 days a week, evenings, weekends, and holidays.

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