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3 Comments on BEWARE! Big FHA Increase on Monthly Mortgage Insurance Premium on April 18th....
Important info to know when the deadline approaches.
Unfortunately, after April 18th, many FHA Buyers will loose thier qualification status due to the additional costs.
Higher costs causes less buyers who qualify.
Higher costs causes buyers to qualify for lower purchase price.
Therby pushing prices down, causing sellers to lose equity and to wait longer for a buyer.
This can't be good for the housing market.
However, I do understand FHA's need to increase their reserves to cover all their foreclosure losses.