New conforming loan limit set at $625,500 for San Francisco

On October 1, 2011, the FHA, Fannie Mae, and Freddie Mac conforming loan limit for San Francisco was reduced to $625,500 from the prior limit of $729,500.

The conforming loan limit determines the maximum size of a mortgage that FHA, Fannie Mae, and Freddie Mac government-sponsored enterprises (GSEs) can buy or guarantee.

Home loans over this limit are considered jumbo loans which carry higher interest rates and require higher down payments.