Rhonda Scott

By Neil Roland

March 6 (Bloomberg) -- About 250,000 Americans in dozens of states, including Texas, New York and Florida, may benefit from higher limits on new loans backed by the Federal Housing Administration, a Department of Housing and Urban Development spokeswoman said today

Another 30,000 Californians could qualify for the new limits, HUD Secretary Alphonso Jackson said earlier this week. The higher loan limits, raised to as much as $729,750 from the current cap of $362,790, will start today and remain in effect until Dec. 31, HUD spokeswoman DJ Nordquist said in an interview.

``Families in high-cost states have been priced out of FHA- backed loans,'' Jackson said in a statement released by the agency.

The increase in limits was provided in a $168 billion economic stimulus package passed by Congress and signed by President George W. Bush last month. They will affect homebuyers and homeowners trying to convert from subprime mortgages into FHA- insured loans, Nordquist said.

The new loan limits will range from $271,050 to $729,750. The maximum limit will apply to 75 high-cost metropolitan areas such as New York, Washington, D.C. and Los Angeles, the statement said. Cities with more moderate housing prices such as Dallas, Houston, and Tallahassee, Florida will have lower loan limits.

The loan limits will return to their current levels in January, the statement said.

C.AR. TO HOLD FIRST HOME BUYER FAIR FOR CONSUMERS

The Southern California Home Buyer’s Fair will feature more than two dozen educational seminars presented in English and Spanish, designed to address many of the concerns of first-time home buyers and arm them with all of the practical information they need to know as they begin the road to homeownership.

“As California’s leading authority on the residential real estate industry, C.A.R. is well-positioned to take a front-and-center role in educating consumers about the facts surrounding today’s housing market and provide them with hands-on, practical tools to help them achieve their dream of becoming homeowners,” said C.A.R. President William E. Brown.  “C.A.R. also is very pleased to have the Los Angeles Times on board as our co-sponsor and we look forward to working with them to produce this exciting event.”

Entrance to the Southern California Home Buyer’s Fair is free.  The Home Buyer’s Fair will run 9 a.m. to 6 p.m. on March 1, and  from 1 p.m. to 6 p.m. on March 2.

The educational seminars will offer consumers valuable information about the many aspects of the home-buying process.  Seminars will cover a broad range of topics including how to qualify for a loan; understanding credit scores; how to find a loan that’s affordable; avoiding fraud; choosing and working with a REALTOR®, home insurance issues; the inspection process; and home design on a budget.

Nearly 250 exhibitors are expected to participate in the Southern California Home Buyer’s Fair, including mortgage lenders; consumer credit counselors; mortgage insurance companies; home inspectors; home insurance companies; REALTORS® and REALTOR® associations; non–profit housing advocacy groups; and state and local agencies for housing and community concerns.

For more information, visit www.homebuyersfair.com