Morning Minute: Higher insurance premiums ahead for FHA-backed mortgages

The Federal Housing Administration (FHA) announced this week that it is increasing the annual mortgage insurance premium by 0.10 percent on most loans and 0.05 percent on jumbo loans ($625,500 and higher). Borrowers will also be required to pay the premiums for the life of the loan. FHA has announced these and other changes as a way to bolster its capital reserves. Read the FHA news release for more details.

Some news coverage of the FHA change:

FHA to hike premiums on mortgagesCNN

FHA to tighten underwriting, raise premiumsInman News

2013-02-01T11:37:29-05:00February 1st, 2013|Uncategorized, Housing Market|0 Comments

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