Yesterday, I wrote about the major FHA fee changes that could be coming up.
Today, the mortgagee letter went out to FHA approved banks, stating that the upfront mortgage insurance premiums collected will be 2.25% instead of the 1.75% they are now. I would like thank Michael Johnston from Carrollton Mortgage Services, Inc. for sharing the mortgagee letter with me.
The closing costs assistance I discussed yesterday is not addressed in this letter, so I do not know when that may come into play.
This change in the MIP goes into effect for any FHA loans for which the case number is assigned on or after April 5, 2010.
So if you are a qualifying buyer for an FHA loan and want a lower up front mortgage insurance premium of 1.75%, you need to get under contract very soon!
To reach Michael Johnston, Assistant Vice President, Carrollton Mortgage Services, Inc., E-mail: firstname.lastname@example.org , Office: 410-561-8477 X 106, Cell: 410-627-1921