HUD 184 Loan Limits for 2023 – Everything You Need to Know

The HUD 184 loan program provides mortgage financing guarantees for American Indian and Alaska Native families, tribes, or tribally designated housing entities. With a HUD 184 loan, borrowers can purchase, construct, rehabilitate, or refinance a single family home with a low down payment even for properties located on native lands.

In 2023, HUD has updated the maximum loan limits for Section 184 Indian housing loans. Understanding the new loan limits can help you take full advantage of this amazing program.

What is the HUD 184 Loan Program?

The HUD 184 loan program was established in 1992 to help Native American families access affordable mortgage financing. It is administered by HUD’s Office of Loan Guarantee within the Office of Native American Programs.

Some key features:

• HUD guarantees the loans giving lenders confidence to provide mortgages in Indian Country.

• Loans can be used for new construction, rehab, home purchase, or refinancing

• Loans can be used on or off native lands.

• Low down payments are allowed.

• Underwriting is flexible.

• Fixed rate loans up to 30 years.

By encouraging lender participation, the HUD 184 program provides more lending capital and increases the value of native assets and communities.

Who Can Get a HUD 184 Loan?

To qualify for a HUD 184 loan, you must be:

• An American Indian or Alaska Native who is a member of a federally recognized tribe

• A federally recognized Indian tribe

• A tribally designated housing entity

• An Indian Housing Authority

The property you wish to purchase must also be located in an eligible area. HUD 184 loans can be used on and off native lands in approved counties.

How Do HUD 184 Loans Work?

The process is simple:

1. Find and apply for a HUD 184 loan with an approved lender. There are over 300 nationwide.

2. If leasing tribal lands, work with your Tribe and BIA on the leasehold requirements.

3. The lender evaluates your application and submits it to HUD’s Office of Loan Guarantee for approval.

4. At closing, HUD provides the guarantee to the lender.

You end up with a fixed rate mortgage with favorable terms to help you achieve the dream of homeownership!

What Are the New HUD 184 Loan Limits for 2023?

HUD has increased the maximum base loan limits for 2023. The specific loan cap depends on the county where the property is located.

Here are the new maximum 2023 HUD 184 loan limits:

• 1-unit properties – $420,680

• 2-unit properties – $580,150

• 3-unit properties – $701,250

• 4-unit properties – $871,450

These are base limits set by HUD based on national median home prices. Actual county loan caps can be significantly higher due to high cost area adjustments.

For example, in Santa Clara County, CA the max HUD 184 loan for a single family home is $1,119,160 due to sky-high home values in Silicon Valley.

View the complete list of HUD 184 loan limits by county to see the max loan amount for your area.

Benefits of HUD 184 Loans

The HUD 184 mortgage program provides several unique benefits:

• Low Down Payments – You can get into a home with just 2.25% down. Much lower than conventional loans.

• No Mortgage Insurance – No monthly MI payments required, saving you money.

• No Income Limits – Your income does not have to fall under a certain threshold.

• Flexible Credit Guidelines – Credit score requirements are more lenient than conventional mortgages.

• Lower Interest Rates – HUD 184 loans often have lower interest rates, making them more affordable.

• Refinance Options – You can refinance an existing HUD 184 loan to lower your rate or cash out your equity.

• Low Fees – In 2023, HUD reduced upfront and annual fees to make the program more affordable.

• 30 Year Fixed Rates – Long term fixed rates provide stability and predictable mortgage payments.

With these advantages, it’s easy to see why the HUD 184 loan program is so popular in Native communities. It provides a viable path to homeownership for American Indian and Alaska Native families.

Find a HUD 184 Lender

Over 300 lenders nationwide participate in the HUD 184 loan program. To get started, you’ll need to connect with a lender that offers these loans in your state or county.

Use the HUD 184 lender search tool to find lenders near you. Then reach out to them to learn more and apply.

Be sure to ask prospective lenders about their experience with HUD 184 loans. The best ones will have many years of expertise and hundreds of Native American borrowers served.

Use a HUD 184 Loan to Achieve Your Homeownership Dreams

For Native American homebuyers, the Section 184 program provides a great opportunity to purchase a home with flexible terms and attractive interest rates.

Now that you understand the new 2023 HUD 184 loan limits, you can take the first step toward buying a home or refinancing your existing mortgage this year! Connect with a lender today to start the process and make your housing dreams a reality.