Feb 4, 2010
Confused yet?
Posted by admin under FHA/HUD
Since I have been in this business — eighteen years for those of you still counting — the amount of upfront mortgage insurance that FHA tacks on the top of a mortgage loan has bounced around enough times to make you feel more than a little dazed and confused. From 2.25%, to 1.75%, to some kind of variable FICO-based insanity that was quickly retracted and for which I hope somebody was fired, to be followed closely by the most recent insult: an increase in *both* the monthly MIP AND the UPMIP.
Welp, given current the current foreclosure crisis, HUD is a little short on cash as you can imagine, so….. come April 5, 2010, another increase is heading deeply into you and your buyers’ wallets. Effective for all case numbers assigned on or after April 5, 2010, FHA upfront mortgage insurance goes back up to 2.25% (from the current 1.75%).
So now you know. Confusion begone.
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