Higher Loan Limits in San Diego for 2025

• Mortgage Limits Increase •

The Federal Housing Finance Agency (FHFA) recently announced higher 2025 Conforming Loan Limits, making it easier to achieve homeownership with a smaller down payment. These changes expand purchasing power, giving you more flexibility when searching for your next home in San Diego.

What Are the New Loan Limits in San Diego for 2025

For 2025, the baseline Conforming Loan Limit has increased to $806,500. With just a 3% down payment, this means you can purchase a home priced up to $831,000. In high-cost areas of San Diego County, the limits are even more generous. The High Balance Loan Limit for San Diego County in 2025 is now $1,077,550, enabling you to purchase homes priced as high as $1,133,000 with only 5% down. Both limits above are based on a 1-unit property.

Conforming Loan Limit Thresholds in San Diego County 

You could secure a lower interest rate and put as little as 3% down on a primary residence if you keep your loan amount under the baseline limits for 1 to 4-unit properties in San Diego. Below are the baseline conforming loan limits for 1 to 4-unit properties in San Diego County:

2025 Baseline Conforming Loan Limits 

• 1-unit to $806,500
• 2-unit to $1,032,650
• 3-unit to $1,248,150
• 4-unit to $1,551,250

Loans above $1,077,550 for 1-unit properties in San Diego are considered jumbo loans. Jumbo loans can have more stringent qualifying requirements, such as mandatory reserve funds and lower maximum debt-to-income ratios. Here are the high balance conforming loan limits for 1 to 4-unit properties in San Diego County:

2025 High Balance Conforming Loan Limits

• 1-unit to $1,077,550
• 2-unit to $1,379,450
• 3-unit to $1,667,450
• 4-unit to $2,072,250

How This Helps San Diego Home Buyers

Higher loan limits make homes in competitive markets like San Diego more accessible. You can afford a higher-priced home without needing a larger down payment. For example, instead of saving tens of thousands more for a bigger down payment, you could use the new loan limits to secure a mortgage for a more desirable property while keeping your initial investment manageable.

Additionally, these limits help you stay within the guidelines for most conventional loans, which often come with lower interest rates and less stringent qualification requirements compared to jumbo loans.

San Diego Lenders Are Ready for 2025

Mortgage lenders in San Diego have already started accepting applications using the new 2025 loan limits, so you can take advantage of this expanded purchasing power immediately. This means you can start your home search with confidence, knowing you have more financing options available.

The Bottom Line: Explore Your Options

San Diego’s real estate market is famously competitive, and these higher limits offer a much-needed boost when you’re looking to enter the market or upgrade your living situation. If you’re eyeing a starter home or upsizing into a larger property, these changes open doors to more possibilities.

With more purchasing power at your fingertips, it could be a good time to start evaluating current housing inventory so you can plan your move in the San Diego real estate market. These higher loan limits could be the key to finding the perfect place without stretching your budget if you’re thinking about buying a new house in San Diego County for 2025.

Talk to your REALTOR® or Lender to see how these new loan limits can open doors and unlock more possibilities for you in 2025. Start your San Diego home search with confidence today.

Sources: 

https://www.fhfa.gov/news/news-release/fhfa-announces-conforming-loan-limit-values-for-2025

https://www.fhfa.gov/data/conforming-loan-limit-cll-values

https://www.fhfa.gov/data/dashboard/conforming-loan-limit-values-map

https://www.buzzfeed.com/jackielam/buying-a-home-in-competitive-market

https://www.nahb.org/blog/2024/11/conforming-loan-limits

https://singlefamily.fanniemae.com/media/6796/display