FHA Mortgage Insurance
FHA requires a mortgage insurance premium (MIP) for its homebuying programs. An up-front
premium of 2.25% of the loan amount is paid at closing and can be financed into the
mortgage amount. In addition, there is a monthly MIP amount
included in the PITI of .50%. Condos do not require up front MIP - only monthly MIP.
The mortgage insurance premium paid on an FHA loan is always significantly higher than on
a conventional program. On an FHA loan the borrower will be charged a mortgage insurance
premium equal to 2.25% of the purchase price of
the property and a renewal premium of .500% in subsequent years. By contrast the mortgage
insurance premium charged at closing on a conventional program is as low as .500% (with
10% down payment) with renewal rate in subsequent years as low as .300% in subsequent
years. |
FHA Loans
FHA Mortgage Insurance
FHA Streamline Refinance
Down Payment Gifts
Bridal Registry Account
Bankruptcy and Foreclosure
Refunds Ready on FHA Loans
Single Family Home Program
Single Family Rehab Program
Title I Improvement Loan
Energy Efficient Mortgages
Reverse Mortgage Program |
