Premiums Increasing for FHA Buyers

Dated: February 10 2013

Views: 919

FHA will hike premiums on mortgages this year


The Federal Housing Administration stated last week that it will raise premiums on new mortgages it insures. Increases are expected to be about 10 basis points.

The FHA is also planning to raise premiums for borrowers with jumbo loans – loans of $625,000 or more. These loans will have new down payment requirements of 5 percent up from 3.5 percent.

Given that most buyers these days have been conventional, there will be a minimal impact. Also, the rise in premiums is so nominal given the historically low rates, most FHA buyers will shrug this news off and pursue the home of their dreams.

Want to Advertise on this Site?

Latest Blog Posts

Compare Countertop Materials To Consider Both Inside And Outside Your Home

Considering selling your home? Countertops create the sizzle in the kitchen and many other areas both inside and outside the home. Check out my recent interview with HomeLight regarding the various

Read More

Low Rates Now Will Have Big Impact On Inventory In The Future

Low rates are fantastic for the real estate market right now but most certainly will lead to an inventory lock down in the future. Motivation to sell and move up which usually happens approximately-

Read More

Remodeling Surge Battles Supply Shortage ROI Challenges Heres Why

If buying isn’t an option, make it yourself. Indeed, in 2020 homeowners across the country found themselves forced into spending more time at home, and they were spending that time in different

Read More

Why Compass And Eastbaypro To Achieve Your Real Estate Goals

Compass is the only real estate brokerage brand that speaks to the next generation of luxury buyer exquisitely. This ‘next generation’ (of all ages) work in industries that have advanced far

Read More