AWACSMortgage compliance intelligence from Flightline

FHA · Mortgagee Letter ML 2025-22 · Published

2026 Home Equity Conversion Mortgage (HECM) Limits

FHA establishes the 2026 Home Equity Conversion Mortgage Maximum Claim Amount limit of $1,249,125, effective for case numbers assigned on or after January 1, 2026. This limit also applies to the special exception areas of Alaska, Hawaii, Guam, and the Virgin Islands.

Review recommendedCase numbers assigned on or after Jan 1, 2026Checks passed· adjusted automaticallyRead the letter ↗ (opens in a new tab)

Loan impact

From the letter text · verified

Applies to: FHA Title II Home Equity Conversion Mortgage (HECM) loans with case numbers assigned on or after January 1, 2026.

Applies when all of these are true
  • ANDFHA loan
  • ANDCase number date on or after January 1, 2026
Addressed to
All FHA-Approved Mortgagees
Investor
FHAFrom the publisher, not quoted from the text
Programs
FHAFrom the publisher, not quoted from the text
Affected area
Eligibility
Effective
Case numbers assigned on or after Jan 1, 2026
Applicability confidence
Verified: every row taken from the source text is supported by it; rows marked "from the publisher" are not quoted
Supporting quotes from the letter
  • conditions“The provisions of this ML are effective for case numbers assigned on or after January 1, 2026.”
  • affected areas“For the period of January 1, 2026, through December 31, 2026, the HECM MCA will be $1,249,125 (150 percent of Federal Home Loan Mortgage Corporation’s (Freddie Mac) national conforming limit of $832,750).”

What changed

From the letter text
RequirementPreviouslyNow
2026 HECM Maximum Claim AmountRelaxedNot statedThe HECM Maximum Claim Amount is $1,249,125 for calendar year 2026, including in Alaska, Hawaii, Guam, and the Virgin Islands.

What to do

AWACS interpretation · not source language

What to review: Review the updated 2026 Home Equity Conversion Mortgage Maximum Claim Amount limit of $1,249,125 that becomes available for case numbers assigned on or after January 1, 2026.

QC implications

  • Quality control should verify that HECM loans with case numbers assigned on or after January 1, 2026, apply the updated Maximum Claim Amount limit of $1,249,125, including for properties in Alaska, Hawaii, Guam, and the Virgin Islands.

Source and record

Version 1 · archived

Checks

  • Source verified: Passed

    The document ID, link and publication date match the official source.

  • Quotes match the source: Passed, adjusted automatically

    Every quoted passage appears word for word in the official document.

    • A detail the source does not support was removed or adjusted

  • Requirements backed by the source: Passed

    Anything marked required is backed by the requirement language and dates in the source.

  • In scope: Passed

    The document is about residential mortgage lending.

  • Format and labels: Passed

    The record follows the AWACS format and uses its standard labels.