Maximum FHA Loan Amounts for All California Counties: 2025 Update

The Department of Housing and Urban Development (HUD) recently announced that California FHA loan limits will be increased for 2025, in response to rising home values nationwide.

According to Federal Housing Commissioner Julia Gordon, this latest increase “enables the FHA program to keep up with nationwide price appreciation. Regular adjustment of loan limits ensures that FHA financing continues to be available in all markets to all those who rely on our programs…”

2025 FHA Loan Limits for All California Counties

California’s median home price rose steadily throughout much of 2024. As a result, HUD announced they have increased California FHA loan limits for 2025. The table below shows the revised limits for all 58 counties.

California is a fairly extensive state, from a home-buying perspective. As a result, several counties in the state will have the absolute maximum FHA loan size in 2025.

As you can see, Los Angeles and most of the San Francisco Bay Area have a maximum FHA loan size of $1,209,750. In all other counties across the state, the max FHA loan amount starts at $524,225 and goes up from there.

All County Limits Were Increased for 2025

In California, the maximum FHA loan amount is based on median home prices. So when home prices rise significantly from one year to the next, federal housing officials typically increase loan limits to keep pace.

This is what occurred from 2024 to 2025. In November of 2024, HUD officials announced that they would be increasing the maximum loan amount for most counties across the U.S., in response to home value appreciation.

Five Things to Know About These Limits

Loan limits can be confusing for borrowers. So we’ve boiled it down to the basics for you. Here are five things California home buyers should know about the maximum FHA mortgage amounts.

1. They come from the Department of Housing and Urban Development.

FHA loans are originated by mortgage lenders operating within the private sector. But they are insured by the government, through the Federal Housing Administration. This agency falls under the Department of Housing and Urban Development, or HUD. So it is HUD that determines the maximum FHA loan amount for California and all other states.

2. They can change from one year to the next.

These limits are reviewed annually in relation to home price changes. When prices rise significantly over the course of a year, the maximum FHA loan size tends to go up as well. This is what has happened over the past few years.

3. They’re based on the conforming limits set by FHFA.

FHA loan limits are derived from the limits established by the Federal Housing Finance Agency, or FHFA. This agency sets the maximum size for conventional and conforming mortgage products.

The Federal Housing Administration takes those conforming limits and applies a formula to determine the maximum FHA loan amount for counties in California and nationwide.

4. They can vary by county due to home prices.

The max FHA loan amounts for California counties can vary because it is based on median home prices, which also vary by county.

As mentioned above, the more expensive counties like Los Angeles, Marin, and Santa Clara have higher loan limits than the more affordable counties like Fresno, Humboldt and Kern.

The maximum amount for an FHA loan gets applied consistently across metropolitan areas. This means that all counties located within a specific metro area typically have the same limits.

According to the HUD announcement that introduced the revised figures for 2025:

“FHA’s Single Family forward mortgage limits are set by Metropolitan Statistical Area (MSA) and county and are published periodically … The limits in these areas are set using the county with the highest median price within the MSA.”

5. They don’t always align with the conforming limits.

FHA loan limits can be different from the conforming limits (i.e., those that apply to “regular” conventional mortgages).

For instance, the FHA limit for California’s more affordable counties will be set at $524,225 for 2025. But the conforming cap within those same counties will be set at $806,500.

So, when you research maximum loan amounts, you have to look at the type of mortgage program you plan to use. You also have to zero in on your specific county. This will help you find the current data for your area.

6. Multifamily properties have higher limits.

The maximum FHA loan amount also varies based on the type of property that’s being purchased. The figures included throughout this article mostly pertain to single-family home purchases. But higher limits are allowed for duplex-style homes and other multifamily properties (with more than one residence).

FHA loans can be used to purchase multifamily homes up to four units, if the borrower plans to reside in one of those units.

Is This Mortgage Program Right for You?

Like most mortgage financing options, FHA loans have their share of pros and cons. As a result, this program is well suited for some borrowers but less ideal for others.

It really comes down to your financial priorities, your credit situation, and other factors.

So the lender originates the loan, and the government partially insures the lender against losses that might occur if the borrower fails to repay. The FHA does not lend money directly to home buyers.

Borrowers who have trouble qualifying for a “regular” conventional mortgage loan often turn to the FHA program as a backup. This program offers flexible qualification criteria with a down payment as low as 3.5% of the purchase price.

However, borrowers who use an FHA loan to buy a house in California usually have to pay mortgage insurance as well. There’s an upfront premium along with an annual premium. These premiums can increase the size of the monthly payments.

Learn more about FHA mortgage insurance

For some borrowers, the ability to qualify for an FHA loan with a low down payment makes up for the modest increase in monthly payments brought on by mortgage insurance.

Conforming Limits Are Also Going Up

In related news, conforming loan limits have also been increased for 2025.

These are the caps that apply to conventional or “regular” mortgage products — those that are not insured or guaranteed by the government. (The term “conventional” differentiates these loans from the FHA and VA programs.)

Starting in January 2025, the conforming loan limits for California will range from $806,500 to $1,209,750 for a single-family home purchase. Anything bigger than that would be considered a jumbo mortgage and might require a larger down payment.