FHA Mortgage Update – Mortgage Insurance Premium Changes

FHA Mortgage Update – Mortgage Insurance Premium

This mortgage update should be read by everyone who will be securing an FHA mortgage. These changes will have an affect on your mortgage payment and some of these changes will remain in effect for a long time. Please take a look:

FHA Changes

Effective for FHA loans registered on or after April 1, 2013, the annual Mortgage Insurance Premium (MIP) will be increased by 10 basis points on most loans. For a 100,000 30 yr loan, the new monthly MIP would move from approximately 104.17 per monthly to 112.50 per month.

Effective with FHA loans registered on or after June 3, 2013, for loans with an original LoanTo Value above 90%, the annual Mortgage Insurance Premium will be collected for the life of the loan. Currently it can terminate when the loan is 78% of the original property value. This is a huge change.

Interest celebrity porn Rates are very volatile

Mortgage Backed Securities – which determine mortgage rates – have been under increased pressure and volatility.  The stock market has started the year off strong – which has pushed the yields on Mortgage Backed Securities lower – increasing the interest rates on fixed rate 30 and 15 year loans.  The average increase in mortgage rates is approximately .375% to .50% on both conventional and FHA loans.

Bottom line … rates are rising and getting more expensive.  The mobile porn time to act is now.

 

 

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