FHA Loans
Schedule a free
consultation with our home loan experts.
FHA Mortgage Insurance
FHA requires a mortgage insurance
premium (MIP) for its home buying programs. An up-front premium of
1.50% 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
1.50% 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.
Click here to
get Pre-Qualified Online Free.
downloads
Refinance Info | Home equity loans | Our
company info | Interest Rates | Less
than perfect credit
|
