Caps on Agency-Backed Mortgages to Fall

Washington, DC, Sept. 13, 2013 -- The maximum size of mortgages backed by Fannie Mae and Freddie Mac is scheduled to be reduced by an unknown amount next year.

The current limits are $417,000 in most of the country up to $625,500 in more expensive markets.

Marketwatch reports that data compiled by Lender Processing Services shows that even a $25,000 reduction could have a significant impact on buyers in many middle-priced and upper-priced markets, but not the most expensive markets.