FHA Mortgage Insurance Premiums are going to change.

FHA Mortgage Insurance Premiums are going to change.

Looking to buy a home? Getting a FHA Loan?  Here are some changes upcoming that will effect your mortgage insurance premiums.  Many are not aware of the changes and you still have time to save some $$$! 

Here are the effective dates for the upcoming HUD/FHA MIP changes:

·         New transactions after April 1, 2013: The annual MIP factor will increase from 1.25% to 1.35% for standard 30 year loans with minimum down payment (3.5%). With 5.0% down the MIP factor increase from 1.20% to 1.30%.

·         New transactions after June 3, 2013: The monthly mortgage insurance will continue for the life of the loan instead of being removed after a LTV of 78% is reached.

         This is a decent chunk of change for borrowers.  For more information please give me a call!