Adjustments to limitations of maximum original principal obligation of conventional mortgages

(a) Freddie Mac Section 305(a)(2)(A) of the Federal Home Loan Mortgage Corporation Act, as amended by section 2, is further amended by striking Each adjustment and all that follows through exceed prior declines. and inserting the following: Each adjustment shall be made by adding each such amount (as it may have been previously adjusted) a percentage thereof equal to the lower of the percentage increase, during the most recent 12-month period ending before the time of determining such annual adjustment, in median household income published by the Bureau of the Census or the housing price index as determined by the Director of the Federal Housing Finance Agency.. (b) Fannie Mae Section 302(b)(2)(A) of the National Housing Act, as amended by section 2, is further amended by striking Each adjustment and all that follows through exceed prior declines. and inserting the following: Each adjustment shall be made by adding each such amount (as it may have been previously adjusted) a percentage thereof equal to the lower of the percentage increase, during the most recent 12-month period ending before the time of determining such annual adjustment, in median household income published by the Bureau of the Census or the housing price index as determined by the Director of the Federal Housing Finance Agency.. (c) FHA Loans Section 203(b)(2)(A) of the National Housing Act (12 U.S.C. 1709(b)(2)) is amended— (1) by striking not to exceed the lesser of— and inserting the following: not to exceed 115 percent of the median house price in the area in 2026, as determined by the Secretary, which the Secretary shall adjust the maximum principal obligation permitted on an annual basis by adding to the amount described in the previous sentence a percentage thereof equal to the lower of the percentage increase, during the most recent 12-month period ending before the time of determining such annual adjustment, in median household income published by the Bureau of the Census or the housing price index as determined by the Director of the Federal Housing Finance Agency;; and (2) by striking clauses (i) and (ii);