Massachusetts FHA Loan Requirements 2026
2026 FHA loan limits for Greater Boston, Cape Cod, the Islands, and all Massachusetts counties — credit score requirements, mortgage insurance premiums, and how FHA competes with conventional financing in Massachusetts.
FHA Loan Limits by Massachusetts County (2026)
FHA loan limits are set by HUD and updated annually based on local median home prices. Four Massachusetts counties — Berkshire, Franklin, Hampden, and Hampshire — sit at the national floor, while the five Greater Boston metro counties carry an elevated limit, and Dukes and Nantucket counties carry the nationwide high-cost ceiling.
| County | 1-Unit | 2-Unit | 3-Unit | 4-Unit |
|---|---|---|---|---|
| Barnstable (Cape Cod) | $828,000 | $1,060,000 | $1,281,300 | $1,592,350 |
| Berkshire | $541,287 | $693,050 | $837,700 | $1,041,125 |
| Bristol | $787,750 | $1,008,450 | $1,219,000 | $1,514,950 |
| Dukes (Martha’s Vineyard) | $1,249,125 | $1,599,375 | $1,933,200 | $2,402,625 |
| Essex | $962,550 | $1,232,250 | $1,489,500 | $1,851,100 |
| Franklin | $541,287 | $693,050 | $837,700 | $1,041,125 |
| Hampden (Springfield) | $541,287 | $693,050 | $837,700 | $1,041,125 |
| Hampshire | $541,287 | $693,050 | $837,700 | $1,041,125 |
| Middlesex | $962,550 | $1,232,250 | $1,489,500 | $1,851,100 |
| Nantucket | $1,249,125 | $1,599,375 | $1,933,200 | $2,402,625 |
| Norfolk | $962,550 | $1,232,250 | $1,489,500 | $1,851,100 |
| Plymouth | $962,550 | $1,232,250 | $1,489,500 | $1,851,100 |
| Suffolk (Boston) | $962,550 | $1,232,250 | $1,489,500 | $1,851,100 |
| Worcester | $545,100 | $697,800 | $843,500 | $1,048,300 |
Confirm your specific county at HUD’s official FHA limit lookup tool, since limits are set at the county level and can change annually.
FHA Requirements in Massachusetts
| Requirement | Detail |
|---|---|
| Minimum credit score | 580 for 3.5% down; 500-579 may qualify with 10% down (lender overlays vary) |
| Down payment | 3.5% minimum, can be gifted or paired with MassHousing Down Payment Assistance |
| Debt-to-income ratio | Generally up to 43%, higher with compensating factors |
| Occupancy | Primary residence required |
| Mortgage insurance | Upfront and annual MIP required (see below) |
FHA Mortgage Insurance Premiums (MIP)
FHA loans require both an upfront mortgage insurance premium (UFMIP) of 1.75% of the loan amount, which can be financed into the loan, and an annual MIP paid monthly, which varies based on loan term, loan-to-value ratio, and loan amount. Unlike conventional PMI, FHA’s annual MIP generally remains for the life of the loan unless the borrower puts down 10% or more.
Pairing FHA with MassHousing assistance. Massachusetts buyers using an FHA loan may still be eligible for MassHousing Down Payment Assistance if working with a MassHousing-participating lender — confirm compatibility before applying.
FHA vs. Conventional in Massachusetts
With Massachusetts’s median listing price at $749,450 as of July 2026, many Massachusetts buyers — particularly in the Greater Boston metro — need loan amounts near or above the conforming limit. FHA can be a strong option for buyers with lower credit scores or higher debt-to-income ratios, while conventional financing may cost less over time for borrowers who qualify and can avoid long-term mortgage insurance with 20% down or by reaching 20% equity.
