Currently the monthly mortgage insurance is calculated on .90% of the loan amount. It will be 1.10% after 4/18. Here are some examples:
$100,000 loan amount
$900/year
Mortgage Insurance = $75/month as part of the payment.
On the new change it would be:
$1100/year
Mortgage Insurance = $91.67/month
Stepping it up to say at $200,000 loan amount:
$1800/year
Mortgage Insurance = $150/month
On the new change it would be:
$2200/year
Mortgage Insurance = $183.33/month
There will still be the 1% fee up-front and that will remain the same for now. Here is the link to the changes that are coming on FHA Mortgage Insurance with a couple of examples below on the effect.
http://www.docmagic.com/compliance/wizard/2011/march-2011/ml-11-10?elq=915ddbdb38924638a7928c8f9b9b8864
For details on how this affects you, or for additional information you should contact a good lender. I highly recommend Ian Carmichael of Envoy Mortgage. You can contact him at 512-306-8502 or [email protected]




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