FHA Annual Mortgage Insurance premium increasing April 18. Get your case number now.

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Education & Training with Network Funding LP NMLS #116235

FHA Annual Mortgage Insurance Premium Increase

Introduction

FHA issued Mortgagee Letter 2011-10, February 14, 2011, which announces a 25 basis point increase to the annual mortgage insurance premiums (AMIP) for forward amortizing loans.  The increase applies to all 30- and 15-year loans.  The upfront mortgage insurance premium (UFMIP) remains unchanged at one percent. 

Effective

The increase in the annual mortgage insurance premiums is effective for FHA case numbers assigned on or after April 18, 2011.

Loan terms > than 15 years

LTV

••      Purchase

••       Rate and Term Refinance

••       Cash-Out Refinance

••      Streamline Refinance

< or = 95%

            UFMIP     1.00

            AMIP        1.10

> 95%

            UFMIP     1.00

            AMIP       1.15

Loan terms

< or = to

15 years

 

  

LTV

••      Purchase

••       Rate and Term Refinance

••       Cash-Out Refinance

••      Streamline Refinance

< or = 90%

           UFMIP     1.00

           AMIP         .25

> 90%

           UFMIP     1.00

           AMIP         .50

Increase does not apply to:

Home Equity Conversion Mortgages (Reverse Mortgages)

Cancellation of AMIP

The AMIP will be cancelled when the LTV reaches 78% provided that the mortgagor has paid the annual MIP for at least five years.

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