BANKING & FINANCE - Dec. 30, 1995

Fannie Mae Not Raising Loan Limit: The Federal National Mortgage Assn. will keep its top loan limit for single-family homes at $203,150. Many analysts had expected that Fannie Mae would raise the top limit to $207,000 effective Jan. 1, to match its competitor, the Federal Home Loan Mortgage Corp., or Freddie Mac. Freddie Mac announced Nov. 30 that it would raise its conforming loan limit by 1.9%, from $203,150 to $207,000. The rise was triggered by the October report of the Federal Housing Finance Board, which showed that the home price index had increased 1.9% in 1995. Fannie and Freddie are government-sponsored enterprises designed to aid in home purchases.