[quote=Eugene]Hey, I can argue that it’s a positive.
Right now we have one continuous market up to about $900k.
When the hammer falls, we’ll have two markets. One up to $700k where anyone can buy with 20% down and borrow the rest at 4.5%; and the other above $700k, where you have to put 30% down and borrow at 5.5%.
This is bad for the second market (but it is not a big deal, because people selling houses above $700k have a lot of wherewithal), but it increases activity across the market for the rest of us.[/quote]
In SD County, the new conforming limit will be $546,250. This is 80% of $682,821. This will be the *new* maximum sales price for a buyer utilizing a conforming loan and putting 20% down.
