FHA Loan Limits in Washington
If you’re looking for a home in Washington state, you may want to consider a mortgage insured by the Federal Housing Administration (FHA), known as an FHA loan. But you should know that the amount you can borrow is limited by a cap that changes based on the county in which you’re looking to buy. FHA loan limits for a single-family home in Washington range from $472,030 in low-cost counties such as Spokane County up to $977,500 in the Seattle metro area. Here’s more of what you should know about securing an FHA loan in Washington.
Washington FHA loan limits by county
| County name | One unit | Two units | Three units | Four units | Median sale price |
|---|---|---|---|---|---|
| ADAMS | $472,030 | $604,400 | $730,525 | $907,900 | $277,000 |
| ASOTIN | $472,030 | $604,400 | $730,525 | $907,900 | $310,000 |
| BENTON | $472,030 | $604,400 | $730,525 | $907,900 | $400,000 |
| CHELAN | $506,000 | $647,750 | $783,000 | $973,100 | $440,000 |
| CLALLAM | $472,030 | $604,400 | $730,525 | $907,900 | $386,000 |
| CLARK | $672,750 | $861,250 | $1,041,050 | $1,293,750 | $585,000 |
| COLUMBIA | $472,030 | $604,400 | $730,525 | $907,900 | $210,000 |
| COWLITZ | $472,030 | $604,400 | $730,525 | $907,900 | $364,000 |
| DOUGLAS | $506,000 | $647,750 | $783,000 | $973,100 | $440,000 |
| FERRY | $472,030 | $604,400 | $730,525 | $907,900 | $138,000 |
| FRANKLIN | $472,030 | $604,400 | $730,525 | $907,900 | $400,000 |
| GARFIELD | $472,030 | $604,400 | $730,525 | $907,900 | $246,000 |
| GRANT | $472,030 | $604,400 | $730,525 | $907,900 | $300,000 |
| GRAYS HARBOR | $472,030 | $604,400 | $730,525 | $907,900 | $274,000 |
| ISLAND | $575,000 | $736,100 | $889,800 | $1,105,800 | $500,000 |
| JEFFERSON | $472,030 | $604,400 | $730,525 | $907,900 | $180,000 |
| KING | $977,500 | $1,251,400 | $1,512,650 | $1,879,850 | $850,000 |
| KITSAP | $563,500 | $721,400 | $872,000 | $1,083,650 | $490,000 |
| KITTITAS | $474,950 | $608,000 | $734,950 | $913,350 | $413,000 |
| KLICKITAT | $472,030 | $604,400 | $730,525 | $907,900 | $250,000 |
| LEWIS | $472,030 | $604,400 | $730,525 | $907,900 | $344,000 |
| LINCOLN | $472,030 | $604,400 | $730,525 | $907,900 | $279,000 |
| MASON | $472,030 | $604,400 | $730,525 | $907,900 | $330,000 |
| OKANOGAN | $472,030 | $604,400 | $730,525 | $907,900 | $240,000 |
| PACIFIC | $472,030 | $604,400 | $730,525 | $907,900 | $230,000 |
| PEND OREILLE | $472,030 | $604,400 | $730,525 | $907,900 | $95,000 |
| PIERCE | $977,500 | $1,251,400 | $1,512,650 | $1,879,850 | $850,000 |
| SAN JUAN | $497,950 | $637,450 | $770,550 | $957,600 | $129,000 |
| SKAGIT | $545,100 | $697,800 | $843,500 | $1,048,300 | $474,000 |
| SKAMANIA | $672,750 | $861,250 | $1,041,050 | $1,293,750 | $585,000 |
| SNOHOMISH | $977,500 | $1,251,400 | $1,512,650 | $1,879,850 | $850,000 |
| SPOKANE | $472,030 | $604,400 | $730,525 | $907,900 | $383,000 |
| STEVENS | $472,030 | $604,400 | $730,525 | $907,900 | $383,000 |
| THURSTON | $546,250 | $699,300 | $845,300 | $1,050,500 | $475,000 |
| WAHKIAKUM | $472,030 | $604,400 | $730,525 | $907,900 | $290,000 |
| WALLA WALLA | $472,030 | $604,400 | $730,525 | $907,900 | $394,000 |
| WHATCOM | $603,750 | $772,900 | $934,250 | $1,161,050 | $525,000 |
| WHITMAN | $472,030 | $604,400 | $730,525 | $907,900 | $372,000 |
| YAKIMA | $472,030 | $604,400 | $730,525 | $907,900 | $310,000 |
How are FHA loan limits determined?
The U.S. Department of Housing and Urban Development (HUD) calculates FHA loan limits annually based on the national conforming loan limit set by the Federal Housing Finance Agency (FHFA). Median home prices from the previous year are used to make these calculations.
The lowest FHA loan limit nationally, also called the floor, is 65% of the conforming loan limit. The floor is $472,030. The highest limit, called the ceiling, rises to 150% of the conforming loan limit and applies to higher-cost areas in the U.S. The ceiling is $1,089,300.
How to qualify for an FHA loan in Washington
FHA loans can help you qualify for a mortgage, especially if you have a lower-than-ideal credit score or don’t want to put down a high down payment. Here’s a look at the FHA loan requirements you’ll need to satisfy in order to apply:
A minimum down payment of 3.5%. If your credit score is 580 or higher, then you may only need to make a 3.5% down payment.
A minimum credit score of 500. If your credit score is between 500 and 579, you may still be eligible for an FHA loan, but you’ll be required to make a down payment of at least 10%.
A debt-to-income (DTI) ratio of 43% or less. Lenders will often require your DTI ratio — your monthly debt payments versus your income — to be under 43%, although there are exceptions.
An FHA home appraisal. FHA loans require a home appraisal to determine the overall value and condition of the home.
Mortgage insurance. You’ll need to pay two separate types of mortgage insurance: the annual mortgage insurance premium (MIP), which typically runs between 0.15% and 0.75% of your loan total, and the upfront mortgage insurance premium (UFMIP), which is 1.75% of your loan total. Both are rolled into your mortgage or paid as a line item on your monthly mortgage payment.
Occupancy. You must live in the home that you bought with an FHA loan as your primary residence for at least 12 months after purchase. FHA loans typically can’t be used to purchase vacation or investment properties.
Buying a multifamily property with an FHA loan
You can also use an FHA loan to purchase a multifamily home. As long as you live in one of the units for at least a year after purchase, you may be able to rent out the rest of the units for income. You’ll need to meet the same FHA loan requirements. If you qualify, you’ll still be able to make a down payment of only 3.5%.
FHA lenders in Washington
| Lender name | LT rating | Minimum FHA credit score |
|---|---|---|
| Truist Mortgage | 4 stars | 580 |
| PennyMac | 5 stars | 580 |
| Rocket Mortgage | 5 stars | 580 |
| Flagstar Bank | 5 stars | 580 |