Aspiring Alaska homebuyers worried about a low credit score or lack of substantial down payment savings keeping them from purchasing property, should consider an FHA loan. Insured by the Federal Housing Administration (FHA), these mortgages can help those struggling to qualify for a conventional home loan secure funding to buy a home – provided the loan amount doesn’t top certain borough and census-area-specific limits. For most Alaska residents purchasing a single-family home, the FHA loan limit is $498,257, but those looking in more expensive areas, like the city of Sitka, can borrow as much as $586,500.
Buying a home in Alaska can be challenging, especially when it comes to securing financing. With high home prices and rugged terrain, getting approved for a mortgage isn’t always easy. That’s why many Alaska homebuyers turn to FHA loans These government-backed mortgages offer more flexible credit and down payment requirements, making homeownership attainable for more buyers.
But FHA loans come with limits on how much you can borrow. Exceeding these FHA loan limits will disqualify you from getting an FHA mortgage. So it’s important to understand the FHA borrowing limits in your area before applying.
In this comprehensive guide we’ll explain everything you need to know about Alaska FHA loan limits for 2023. including
- How FHA loan limits are determined
- FHA lending limits by county and census area
- Loan limits for single-family homes vs multifamily properties
- Meeting FHA borrowing requirements
- Finding the best FHA lenders in Alaska
Let’s get started!
How Are FHA Loan Limits Determined in Alaska?
The Federal Housing Administration (FHA) sets limits on the maximum loan amount you can borrow based on home prices and median incomes in counties and metro areas across the country. FHA loan limits are recalculated annually and vary widely from state to state and county to county.
In expensive housing markets like Alaska, FHA loan limits are higher so borrowers can still afford to buy homes. But in lower cost areas, FHA limits are reduced. FHA loan limits also factor in the size of the home and units.
For 2023, here’s how FHA loan limits are calculated:
- Minimum FHA loan limit across all counties is $362,250 for a single-family home
- Maximum FHA loan limit for low cost areas is $486,000
- Maximum FHA loan limit for high cost areas is $971,800
- Alaska is classified by FHA as a high cost state
These base FHA loan limits apply to single-family homes with 1-unit. Limits increase for 2-4 unit properties.
Alaska FHA Loan Limits by County and Census Area
FHA mortgage limits in Alaska range from a low of $362,250 in Aleutians East Borough up to $971,800 in Sitka City and Borough for 4-unit homes. Most counties top out at $727,200 for 4-plexes.
Here are the FHA loan limits for every county and census area in Alaska:
| County/Census Area | 1 Unit Limit | 2 Unit Limit | 3 Unit Limit | 4 Unit Limit |
|---|---|---|---|---|
| Aleutians East Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Aleutians West Census Area | $497,000 | $638,000 | $771,250 | $993,600 |
| Anchorage Municipality | $362,250 | $464,375 | $561,650 | $727,200 |
| Bethel Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Bristol Bay Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Denali Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Dillingham Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Fairbanks North Star Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Haines Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Hoonah-Angoon Census Area | $486,000 | $624,000 | $753,750 | $975,600 |
| Juneau City and Borough | $538,650 | $690,200 | $834,400 | $1,082,150 |
| Kenai Peninsula Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Ketchikan Gateway Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Kodiak Island Borough | $486,000 | $624,000 | $753,750 | $975,600 |
| Lake and Peninsula Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Matanuska-Susitna Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Nome Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| North Slope Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Northwest Arctic Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Petersburg Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Prince of Wales-Hyder Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Sitka City and Borough | $540,750 | $692,000 | $836,200 | $971,800 |
| Skagway Municipality | $486,000 | $624,000 | $753,750 | $975,600 |
| Southeast Fairbanks Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Valdez-Cordova Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
| Wrangell City and Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Yakutat City and Borough | $362,250 | $464,375 | $561,650 | $727,200 |
| Yukon-Koyukuk Census Area | $362,250 | $464,375 | $561,650 | $727,200 |
As you can see, FHA loan limits gradually increase from 1-4 units. Sitka City and Borough has the highest FHA loan limits in Alaska.
Most counties cap out at $727,200 for a 4-unit property. But a few more expensive areas like Juneau and Sitka can borrow up to $971,800 with an FHA loan.
FHA Loan Limits for Single Family Homes
The FHA base loan limit for single-family homes with 1 unit is lower across Alaska. No counties or census areas exceed the maximum limit of $486,000 for a single-family residence.
Here are the standard FHA loan limits for 1-unit homes in Alaska:
- Aleutians East Borough – $362,250
- Aleutians West Census Area – $397,000
- Anchorage Municipality – $362,250
- Bethel Census Area – $362,250
- Bristol Bay Borough – $362,250
- Denali Borough – $362,250
- Dillingham Census Area – $362,250
- Fairbanks North Star Borough – $362,250
- Haines Borough – $362,250
- Hoonah-Angoon Census Area – $486,000
- Juneau City and Borough – $538,650
- Kenai Peninsula Borough – $362,250
- Ketchikan Gateway Borough – $362,250
- Kodiak Island Borough – $486,000
- Lake and Peninsula Borough – $362,250
- Matanuska-Susitna Borough – $362,250
- Nome Census Area – $362,250
- North Slope Borough – $362,250
- Northwest Arctic Borough – $362,250
- Petersburg Census Area – $362,250
- Prince of Wales-Hyder Census Area – $362,250
- Sitka City and Borough – $540,750
- Skagway Municipality – $486,000
- Southeast Fairbanks Census Area – $362,250
- Valdez-Cordova Census Area – $362,250
- Wrangell City and Borough – $362,250
- Yakutat City and Borough – $362,250
- Yukon-Koyukuk Census Area – $362,250
The lowest FHA loan limit for a single-family residence in Alaska is $362,250. Only a few cities and boroughs exceed $486,000.
Multifamily FHA Loan Limits
FHA also insures mortgages for 2-4 unit multifamily properties. Investment property owners and landlords commonly use FHA loans to finance small residential rental buildings.
Here are the FHA loan limits for 2-4 unit properties in Alaska:
2 Unit FHA Loan Limits:
- Aleutians East Borough – $464,375
- Aleutians West Census Area – $638,000
- Anchorage Municipality
Alaska FHA loan limits by county
| County name | One unit | Two units | Three units | Four units | Median sales price |
|---|---|---|---|---|---|
| ALEUTIANS EAST | $498,257 | $637,950 | $771,125 | $958,350 | $194,000 |
| ALEUTIANS WEST | $545,100 | $697,800 | $843,500 | $1,048,300 | $450,000 |
| ANCHORAGE | $498,257 | $637,950 | $771,125 | $958,350 | $420,000 |
| BETHEL | $498,257 | $637,950 | $771,125 | $958,350 | $151,000 |
| BRISTOL BAY | $498,257 | $637,950 | $771,125 | $958,350 | $345,000 |
| CHUGACH | $498,257 | $637,950 | $771,125 | $958,350 | $253,000 |
| COPPER RIVER | $498,257 | $637,950 | $771,125 | $958,350 | $253,000 |
| DENALI | $498,257 | $637,950 | $771,125 | $958,350 | $273,000 |
| DILLINGHAM | $498,257 | $637,950 | $771,125 | $958,350 | $209,000 |
| FAIRBANKS NORTH STAR | $498,257 | $637,950 | $771,125 | $958,350 | $311,000 |
| HAINES | $498,257 | $637,950 | $771,125 | $958,350 | $282,000 |
| HOONAH-ANGOON | $524,400 | $671,300 | $811,450 | $1,008,450 | $327,000 |
| JUNEAU | $553,150 | $708,150 | $855,950 | $1,063,750 | $481,000 |
| KENAI PENINSULA | $498,257 | $637,950 | $771,125 | $958,350 | $294,000 |
| KETCHIKAN GATEWAY | $498,257 | $637,950 | $771,125 | $958,350 | $375,000 |
| KODIAK ISLAND | $517,500 | $662,500 | $800,800 | $995,200 | $450,000 |
| KUSILVAK | $498,257 | $637,950 | $771,125 | $958,350 | $98,000 |
| LAKE AND PENINSULA | $498,257 | $637,950 | $771,125 | $958,350 | $156,000 |
| MATANUSKA-SUSITNA | $498,257 | $637,950 | $771,125 | $958,350 | $420,000 |
| NOME | $498,257 | $637,950 | $771,125 | $958,350 | $375,000 |
| NORTH SLOPE | $498,257 | $637,950 | $771,125 | $958,350 | $281,000 |
| NORTHWEST ARCTIC | $498,257 | $637,950 | $771,125 | $958,350 | $176,000 |
| PETERSBURG | $498,257 | $637,950 | $771,125 | $958,350 | $300,000 |
| PRINCE OF WALES-HYDER | $498,257 | $637,950 | $771,125 | $958,350 | $258,000 |
| SITKA | $586,500 | $750,800 | $907,550 | $1,127,900 | $489,000 |
| SKAGWAY | $524,400 | $671,300 | $811,450 | $1,008,450 | $327,000 |
| SOUTHEAST FAIRBANKS | $498,257 | $637,950 | $771,125 | $958,350 | $258,000 |
| WRANGELL | $498,257 | $637,950 | $771,125 | $958,350 | $300,000 |
| YAKUTAT | $498,257 | $637,950 | $771,125 | $958,350 | $247,000 |
| YUKON-KOYUKUK | $498,257 | $637,950 | $771,125 | $958,350 | $104,000 |
How are FHA loan limits determined?
The FHA reviews its loan limits each year to ensure they accurately reflect current home prices across the country based on a formula outlined in the National Housing Act. This rule means the maximum amount you can borrow with an FHA loan will always be a percentage of the national conforming loan limit set by the Federal Housing Finance Agency for conventional loans – or mortgages that conform to a list of Fannie Mae and Freddie Mac standards.
In 2024, the largest FHA loan available in most counties, or the loan limit floor, is $498,257 — or 65% of the national conforming loan limit of $766,550. To help those living in major cities or pricer areas afford homes, the FHA allows them to borrow up to the ceiling amount of $1,149,825 — or 150% of the same national conforming loan limit.
The standard ceiling amount doesn’t apply in Alaska, however, as the state is considered a “special exception area.” This means residents could borrow up to $1,724,725 with an FHA loan to account for the higher costs of construction, but no boroughs or census areas were given such large loan limits this year.
The largest FHA loan offered in Alaska is for buyers in the city of Sitka, who can finance up to $586,500 of their home purchase. Homebuyers in the boroughs of Kodiak Island, Juneau and Skagway or the census areas of Aleutians West and Hoonah-Angoon may also borrow an amount above the loan limit floor. The rest of the state can take out a maximum FHA loan of $498,257.