2024 FHA Loan Limits in Massachusetts
FHA loans are often easier to qualify for than conventional mortgages and can be beneficial for those with a less-than-ideal credit score or low down payment, but they come with maximum amounts you can borrow. FHA loan limits in Massachusetts range from $498,257 to $1,149,825 for a single-family home. We’ll walk through limits for each county and how to qualify for this mortgage type.
Massachusetts FHA loan limits by county
| County name | One unit | Two units | Three units | Four units | Median sales price |
|---|---|---|---|---|---|
| BARNSTABLE | $747,500 | $956,950 | $1,156,700 | $1,437,500 | $650,000 |
| BERKSHIRE | $498,257 | $637,950 | $771,125 | $958,350 | $295,000 |
| BRISTOL | $736,000 | $942,200 | $1,138,900 | $1,415,400 | $640,000 |
| DUKES | $1,149,825 | $1,472,250 | $1,779,525 | $2,211,600 | $1,350,000 |
| ESSEX | $862,500 | $1,104,150 | $1,334,700 | $1,658,700 | $750,000 |
| FRANKLIN | $498,257 | $637,950 | $771,125 | $958,350 | $375,000 |
| HAMPDEN | $498,257 | $637,950 | $771,125 | $958,350 | $375,000 |
| HAMPSHIRE | $498,257 | $637,950 | $771,125 | $958,350 | $375,000 |
| MIDDLESEX | $862,500 | $1,104,150 | $1,334,700 | $1,658,700 | $750,000 |
| NANTUCKET | $1,149,825 | $1,472,250 | $1,779,525 | $2,211,600 | $2,100,000 |
| NORFOLK | $862,500 | $1,104,150 | $1,334,700 | $1,658,700 | $750,000 |
| PLYMOUTH | $862,500 | $1,104,150 | $1,334,700 | $1,658,700 | $750,000 |
| SUFFOLK | $862,500 | $1,104,150 | $1,334,700 | $1,658,700 | $750,000 |
| WORCESTER | $498,257 | $637,950 | $771,125 | $958,350 | $420,000 |
How are FHA loan limits determined?
The FHA doesn’t provide these loans; instead, they’re offered by certain banks and credit unions and insured by the FHA.
FHA loans have limits that change annually. Each year, the FHA determines what the loan limits will be for each county in the U.S. The “floor” is the lowest maximum borrowing limit, whereas the “ceiling” is the highest maximum borrowing limit. The floor and ceiling are calculated based on the Federal Housing Finance Agency’s (FHFA) annual conforming loan limits — the floor is 65% of the conforming loan limit, while the ceiling is 150% of the conforming loan limit.
For 2024, the mortgage floor for single-family homes in Massachusetts is $498,257 (in more affordable counties like Worcester and Hampshire), while the ceiling is $1,149,825 (in pricier counties like Nantucket and Dukes).
How to qualify for an FHA loan in Massachusetts
Although FHA loans can be a great option for prospective homeowners who can’t qualify for a conventional mortgage, they do come with a set of requirements. Before you contact an FHA-approved lender, make sure you meet the following criteria.
→ Credit score: The minimum credit score you need to qualify for an FHA loan will depend on how much you’re putting down upfront. You need a credit score of 500 if you’re making a 10% down payment, and a credit score of 580 if you’re making a 3.5% down payment.
→ Down payment: You’ll need to put down 3.5% if your credit score is above 580 and 10% if your credit score is between 500 and 579.
→ Mortgage insurance: FHA mortgage insurance is required. You’ll make two payments — 1.75% of the loan upfront, plus an annual payment that’s between 0.15% and 0.75% of your loan. Although interest rates on FHA loans can be lower than conventional loans, borrowers who only put down the minimum 3.5% down payment will have to pay mortgage insurance for their entire loan, which can add up over time.
→ Debt-to-income (DTI) ratio: A DTI ratio helps prospective lenders figure out how much debt you already have relative to your annual income. You’ll need a DTI of 43% or less to qualify for an FHA loan. Keep in mind that this requirement is somewhat flexible — if you have a decent amount of savings or a higher credit score, you could qualify for an FHA loan with a DTI of up to 50%.
→ Income limits: There are no income limits for FHA loans. However, you’ll need to prove you have a stable employment history — this means you’ll need two years’ worth of pay stubs, W-2s or 1099s and tax returns.
→ Occupancy: The home must be your primary residence.
Buying a multifamily property with an FHA loan
One perk of the FHA loan program is that it allows people to buy multifamily homes that have anywhere from two to four units, like condominiums. The best part of this perk? You only have to put down 3.5% upfront.
In addition to the general FHA loan requirements listed above for single-family homes, those purchasing a multifamily property must meet these requirements:
- Owner occupied: The multifamily property must be owner-occupied — FHA loans aren’t an option for commercial investors. You have to live in one of the units for at least 12 months as your primary place of residence.
- Cash reserves: You’ll need cash reserves if you plan on renting out the other units.
- Debt-to-income ratio: Your lender may take prospective rental income into account when determining your DTI.
| Number of units | Low-cost FHA loan limit | High-cost FHA loan limit |
|---|---|---|
| Two | $637,950 | $1,472,250 |
| Three | $771,125 | $1,779,525 |
| Four | $958,350 | $2,211,600 |
FHA lenders in Massachusetts
Lender | LendingTree rating | Min. FHA credit score | |
|---|---|---|---|
 | 580 | ||
 | Not disclosed | ||
 | 580 | ||
 | 580 | ||
 | 580 |
