REMINDER OF FHA CHANGES
April 18, 2011 by Mike Calvert · Leave a Comment
EFFECTIVE APRIL 18th, 2011 (This coming Monday)
FHA recently raised there monthly MIP which goes in effect on April 18th. You would be surprised how many mortgage people do not know this. That means if you are working with a borrower that is negotiating a house right now that is doing an FHA loan, the payment they were quoted will be lower that what they will actually get.
WARNING: If you get a contract accepted before the 18th, make sure the lender is pulling the FHA case number right away to protect your buyer.
MONTHLY MIP for FHA
FHA Loans with 3.5% down
NOW – .90
AFTER the 18th – .115
FHA Loans with more than 5% down
NOW – .85
AFTER the 18th – .110
FHA Loans with 10% Down
NOW – .25
AFTER the 18th – .50
FHA Loans with GREATER thatn 10% Down
NOW – none
AFTER the 18th – .25
SO HOW DOES THIS EFFECT THE PAYMENT?
For a $150,000 purchase price with 3.5% down:
The payment would increase by about $31.00
Not the end of the world, but with debt ratio limits as tight as they have every been, something you should be aware of.
Mid Florida Investment Properties, LLC owner Mike Calvert has been buying and selling real estate in Central Florida for over 18 years. Get a seasoned investor as your partner for a fraction of the profit. We handle the transaction from start to finish!
