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how low is the FHA mortgage insurance going toe be now?

I have been considering taking out an FHA loan for months and I'm glad I waited!! Will the mortgage insurance cuts make it easier to qualify, by the way, because of the lowered payment? I have 679 credit so i have been worried that FHA wouldn't take by francesotts823171 from Sherwood, Oregon. Jan 9th 2015 Reply


Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#29 ranked lender in New York - 2,236 contributions

The upfront will still be 1.75% but the Monthly is being reduced to .85%It is not in effect yet but HUD is saying hopefully by the end of the month.

Jan 9th 2015
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Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#29 ranked lender in New York - 2,236 contributions

It will allow you to qualify for more. FHA allows loans with scores down to 550 with up to 90% financing. You need a 580 or better credit score for 96.5% financing. Debt ratio is limited to 43% on scores below 620 and can go as high as 55% with scores over 620

Jan 9th 2015
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Lorne Harvey (lorneharvey)
#1 ranked lender in Washington - 418 contributions

LoanHarvey here to assist. Be sure to interview a couple of loan officers and discuss their plan for you. I am here to help, should you choose to contact me.Thank you!Lorne HarveyAmerican Pacific Mortgagewww.loanharvey.com

Jan 9th 2015
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Phil Dumouchel (PhilDu)
#32 ranked lender in South Carolina - 2,224 contributions

The new rate is effective as of 1/26 and will mean a reduction of about $42/mo in payment on a 100,000 loan based on a 30 year mortgage. There is no change in the cost for 15 year loans. Depending on your situation, you may still be better off with a conventional loan. I always look at that option for my customers.

Jan 9th 2015
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,446 contributions

It varies by the term (in years) and the down payment size - but as most people getting an FHA loan but a small down payment, and take a 30-yr loan... The up-front mortgage insurance premium is 1.75% of the loan amount. You can pay cash, but almost every chooses to have it rolled into the loan amount. Next is monthly mortgage, which is what just got lowered to .85%. With less than 10% down, the PMI is for the life of the loan. This lower PMI rate starts with FHA loans registered on or after January 26, 2015. For FHA loans in MN, WI, and SD - visit www.MortgagesUnlimited.biz

Jan 12th 2015
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