Get no-obligation free mortgage quotes

Compare Mortgage Quotes

Call at 888-485-7561
and get current mortgage rates from a lender.

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

FHA to change mortgage insurance programs

Shared by Sara on Tue Sep 14, 2010 4:13 am
Effective from October 4th, 2010, Federal Housing Administration (FHA) is making changes to its mortgage insurance program. Borrowers, who will go for FHA approved mortgage on and after October 4th, 2010, will have to pay higher mortgage insurance premiums. It is expected that a larger number of borrowers planning to take out a mortgage to buy a property will go for FHA loan prior to October 4th which will help them in getting lower insurance premiums. Source: http://online.wsj.com/article/SB10001424052748703467404575486233882472658.html?mod=googlenews_wsj

Community Members Opinion

jerry

Joined: 17 Oct 2005

Moderator
Posts: 2708
Location: MICHIGAN

429.63 Dollars($)

Posted: Tue Sep 14, 2010 4:35 am Post subject:

Hey Sara... Thanks for sharing the news update regarding changes in mortgage insurance program of FHA. It is true that the insurance premiums will increase. However, the upfront costs on the FHA loan will also decrease to 1% of the loan amount. The current upfront cosing cost is around 2.25%.