Sunday, October 17, 2010

Changes to FHA Mortgage Insurance Premiums

Interesting changes with FHA Mortgage Insurance will take place on Monday.  Based on FHA Case Number assignments on or after October 4, 2010, FHA will lower its upfront MIP and simultaneously increase the annual premium collected on a monthly basis.  The changes look like this:

 

Current Upfront MIP                      "New" Upfront MIP

Purchase – 2.25%                             Purchase – 1.00%

Refi – 2.25%                                       Refi – 1.00%

 

 

Current Monthly MIP Charges

= or <95% ltv and amort greater than 15 years - .50%

>95% ltv and amort greather than 15 years - .55%

 

= or <90% ltv and = or < amort – 0%

>90% ltv and = or <15 amort - .25%

 

 

"New" Monthly MIP Charges

= or <95% ltv and amort greater than 15 years - .85%

>95% ltv and amort greater than 15 years - .90%

 

= or <90% ltv and = or < 15 years amort – 0%

>90% ltv and = or <15 years amort - .25%

 

 

The good news is the loan amounts will be lower.  The bad news is monthly payments will be higher.  Let me know if you have any questions.

 

Bob Knoll

Senior Loan Officer

NMLS #225478

Hancock Mortgage Partners

669 Airport Freeway, #306

Hurst, TX  76053               

817-484-6564 – office

817-622-8833 - fax




--
Leeza Morris, REALTOR®, MBA, GREEN, e-PRO®, SFR
Keller Williams Realty
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cel/txt. 940 391-5080
fax: 940 497-0091
skype: leezam22
2434 Lillian Miller Parkway
Denton, TX 76205
www.LeezaMorris.com
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