Shopping in Arlington, Fairfax, or Loudoun in 2025 and wondering how far your pre-approval will go? Loan limits just moved, and that shift can change whether your mortgage is conforming, FHA, VA, or jumbo. If you understand the new caps and how they apply by county, you can fine-tune your budget and choose the right path to closing. In this guide, you will learn the new numbers, what they mean in Northern Virginia, and practical ways to stay under key thresholds. Let’s dive in.
2025 loan limits at a glance
The Federal Housing Finance Agency set the national baseline conforming limit at $806,500 for one-unit homes in 2025, with a high-cost ceiling of $1,209,750 in designated counties. These limits apply to loans purchased or closed in 2025. FHFA’s announcement explains how the annual adjustment works.
FHA also raised its forward mortgage limits for 2025. The one-unit FHA floor is $524,225, and the national FHA ceiling is $1,209,750 in high-cost areas. FHA limits apply to case numbers assigned on or after January 1, 2025. See HUD’s 2025 update in the FHA press release.
What this means in Northern Virginia
Most core NoVA markets hit the ceiling
Many Northern Virginia jurisdictions are treated as high cost in 2025, which sets the one-unit limit at $1,209,750. Examples include Arlington County, the City of Alexandria, Fairfax County and Fairfax City, Loudoun County, and Prince William County. Several adjacent counties like Stafford and Fauquier are also listed at the ceiling. County lists compiled for Virginia confirm these caps for 2025, though you should verify a specific property with the official lookup. Review Virginia details on USHousingData’s loan limits page.
Tip: Boundaries matter. A property just across a line can fall under a different limit, which can change your loan type.
How limits affect your loan type
Conventional (conforming) loans
If your loan amount is at or below your county’s conforming limit, your mortgage can be sold to Fannie Mae or Freddie Mac as a conforming loan. That typically means broader product options and strong secondary-market demand. Confirm the 2025 baseline and high-cost ceiling in the FHFA release.
Jumbo loans
Any loan above the county conforming limit is non-conforming, often called a jumbo. Jumbo underwriting is usually stricter, with higher credit score expectations, larger cash reserves, lower debt-to-income ratios, and different down payment needs. Pricing can be higher or sometimes comparable depending on the market. Learn the differences in this jumbo loan overview.
FHA loans
In many NoVA counties, the FHA one-unit cap reaches the FHA ceiling of $1,209,750 for 2025. That can open FHA as an option for higher-priced homes than you might expect, subject to FHA underwriting and mortgage insurance rules. FHA limits take effect for case numbers assigned on or after January 1, 2025, per HUD’s update.
VA loans
For VA borrowers with partial entitlement, county “limits” generally track the FHFA conforming limits. If you have full VA entitlement, you may be able to finance above your county limit without a down payment, subject to lender approval and entitlement rules. Confirm your status and options using this VA loan limits guide.
Quick scenarios to make it real
- Buying in a high-cost NoVA county with a target price of $1.30 million: a down payment that keeps your loan amount at or below $1,209,750 can preserve conforming status. For example, a $120,000 down payment puts you at a $1,180,000 loan amount.
- If your budget pushes the loan above the ceiling, compare conforming-plus-down-payment vs. jumbo terms. Ask a lender to price both on the same day.
- VA-eligible with full entitlement: you may avoid a down payment even above the county limit, depending on lender guidelines. Verify your Certificate of Eligibility early.
How to prepare in 2025
- Check your county limit. Use the official FHFA resources for conforming limits and HUD’s tools for FHA limits to confirm the exact cap for your property location. Start with the FHFA announcement and HUD’s FHA info page.
- Align price and down payment. Bring your estimated price and down payment to a lender to see if you fall under the conforming cap or cross into jumbo. This jumbo explainer outlines typical differences.
- Get pre-approved early. Underwriting requirements vary between conforming and jumbo and can affect documentation and timelines. Rate spreads also move with the market, so get same-day quotes on both loan types. See a practical overview of pricing dynamics in this jumbo vs. conventional guide.
- Compare programs. In high-cost NoVA areas, FHA may fit up to $1,209,750. VA borrowers should confirm entitlement status since rules differ for full vs partial entitlement. Review FHA’s 2025 limits in the HUD press release and VA entitlement considerations in this VA limits explainer.
For NoVA sellers
Higher conforming limits can expand the pool of buyers who qualify for conforming financing at your price point. That can influence days on market and contract certainty. Work with your listing team to position pricing where the broadest financing options are available.
The bottom line
For Northern Virginia, 2025 loan limits raise the ceiling for conforming, FHA, and in many cases VA financing. If you confirm your county’s cap and structure your price and down payment wisely, you can keep more options on the table and reduce surprises during underwriting. If you want a careful, senior-level take on your purchase or sale strategy, connect with Dick Stoner to plan your next steps.
FAQs
What are the 2025 conforming and FHA limits for one-unit homes?
- FHFA baseline is $806,500 and the high-cost ceiling is $1,209,750 for 2025; FHA’s one-unit floor is $524,225 and its national ceiling is $1,209,750, per FHFA and HUD.
Which Northern Virginia counties are high cost in 2025?
- Core NoVA locations including Arlington, Alexandria, Fairfax County and City, Loudoun, Prince William, Stafford, and Fauquier are listed at the $1,209,750 ceiling, per Virginia compilations like USHousingData.
How do VA loan limits work for 2025 in NoVA?
- Borrowers with partial entitlement track FHFA county limits, while those with full entitlement may go above county limits without a down payment subject to lender approval, per this VA limits overview.
Is jumbo my only option if my loan would exceed $1,209,750?
- Not always; you can increase your down payment to stay conforming, consider a VA loan if eligible, or use a jumbo product, but jumbo underwriting is often stricter, per this jumbo explainer.
How do I verify my county’s exact limit before making an offer?
- Confirm with the official resources for 2025 caps using the FHFA announcement for conforming and HUD’s FHA page for FHA loan limits.
