What is the Maximum FHA Loan Amount in Florida?

The FHA loan program offers low down payment mortgage options to buyers across the United States. FHA loans are popular with first-time homebuyers since you can get financing with as little as 3.5% down. However there are limits on how much you can borrow with an FHA loan. These FHA loan limits vary by state and county. In this article we’ll look at the maximum FHA loan amount available for home purchases in Florida.

Overview of FHA Loan Limits

FHA loans are insured by the Federal Housing Administration (FHA). The FHA sets limits on the maximum loan amount that can be insured in a given area. Loan limits are based on home prices and housing costs in that location. There are floor and ceiling limits:

• FHA Floor – This is the minimum loan limit for all areas. It is set at 65% of the national conforming limit.
• FHA Ceiling – This is the maximum loan limit for high-cost areas. It is set between 115% to 150% of area median home prices.

For 2023 the national FHA floor is $420,680 and the FHA ceiling is $970,800. Individual county limits fall somewhere in between. FHA loans over the limit require larger down payments.

Florida FHA Loan Limits for 2023

The maximum FHA loan amount that a buyer can borrow depends on which county in Florida they are purchasing in. Here are the current FHA loan limits for Florida:

Florida Statewide FHA Loan Limit – $420,680

This base limit applies statewide for lower cost counties. It is equal to the national FHA floor.

High-Cost County FHA Loan Limits:

• Broward County – $970,800
• Duval County – $970,800
• Miami-Dade County – $970,800
• Orange County – $825,000
• Palm Beach County – $970,800

These 5 counties have FHA loan limits above the floor due to higher home prices. The maximum here aligns with the national FHA ceiling.

Moderate Cost County Limits:

Several other counties have FHA loan limits between the floor and ceiling based on local housing costs:

• Brevard County – $688,500
• Clay County – $553,100
• Collier County – $553,100
• Hillsborough County – $679,050
• Lee County – $553,100
• Leon County – $550,150
• Pasco County – $553,100
• Pinellas County – $688,500
• Polk County – $553,100
• St. Johns County – $686,000
• Sarasota County – $542,950
• Seminole County – $686,000
• Volusia County – $642,300

All Other Counties – $420,680

The remaining counties fall at the base FHA loan limit.

Impact on Down Payments

The higher the FHA loan amount, the larger your minimum down payment will be. Here are some examples on a $500,000 purchase:

• Broward County – Minimum Down Payment = $17,500
• Leon County – Minimum Down Payment = $17,500
• Alachua County – Minimum Down Payment = $17,500

Even though Leon and Alachua counties have different FHA loan limits, the down payment is the same because the purchase price fits under both limits.

However, for a $750,000 purchase:

• Broward County – Minimum Down Payment = $22,050
• Leon County – Minimum Down Payment = $48,750
• Alachua County – Minimum Down Payment = $48,750

Now the higher limits in Broward make a difference in the required down payment. Always check your county limit when determining FHA down payment amounts.

Can I Finance Closing Costs?

Closing costs and upfront mortgage insurance premiums can be included in your FHA loan amount. This avoids having to pay those fees out of pocket. However, the costs get added to your mortgage balance.

Make sure your total loan amount including closing costs does not exceed your county’s FHA loan limit. If it does, you may have to pay some closing fees upfront to get under the limit.

What Else Impacts Loan Amount?

Aside from loan limits, other factors play a role in how much you can borrow with an FHA loan:

Credit Score – Minimum of 580 but scores of 620+ recommended. Higher scores get better rates.

Debt-to-Income Ratio – FHA requires under 43% total DTI. Strong ratios help qualify for more.

Down Payment – Higher down payments allow bigger loan amounts. FHA minimum is 3.5%.

Loan Term – Longer terms (e.g. 30 years) mean lower payments and ability to borrow more.

Talk to a lender to determine the maximum purchase price and loan amount you may qualify for based on your specific situation.

Next Steps

Now you know the maximum amount you can borrow with an FHA loan in Florida depends on the county and specific home price. To move forward:

• Check your county limit when deciding your price range.

• Talk to a lender and get pre-approved for the maximum FHA loan amount you are eligible for.

• Shop for homes at or under your pre-approval amount.

The FHA program provides flexible financing options. Just be sure to stay within your county’s loan limits when purchasing in Florida. This ensures you can get a low down payment FHA mortgage.