Skip to comments.FHA loans get pricier April 1
Posted on 03/29/2013 9:20:49 AM PDT by illiac
The Federal Housing Administration will charge borrowers higher mortgage insurance premiums on new FHA loans starting next week.
If you are planning on getting an FHA loan in coming days, make sure your lender gets a case number from the FHA before Monday to avoid the higher fee. Lenders normally can get the case number assigned to the loan once the borrower applies for the mortgage. But if they are overwhelmed with applications, they may not get to it in time, says Cameron Findlay, director at Discover Home Loans.
The annual fee on most FHA loans will increase by 0.1 percent April 1. While it may sound small, this is one of a series of mortgage insurance hikes the FHA has implemented over the years. The fee has nearly tripled since 2008.
"Every penny counts for a consumer taking out a $200,000 loan," Findlay says.
(Excerpt) Read more at bankrate.com ...
so even if you have an 800 FICO score and put 20% down , you have to have PMI for the length of the loan?
That is what I’ve been hearing.....
FHA loans equal the new sub-prime.
Govco needs increased MIP to pay for significant FHA defaults.
Bingo! We have a winner....
Why would you borrow FHA if you had 20% down?