Great news for the housing industry is coming to the mortgage industry. Many industry professionals and those in leadership positions have been avocation for a reduction of the mortgage insurance premium for FHA loans.
The high monthly premiums has deterred many guest time home buyers from getting financing due to higher premiums on the monthly payments of mortgage insurance.
The monthly premiums will be reduced from 1.35% to .85%. This would equate from $135 per month to $85 per month for every $100,000 borrowed. This is a big difference to many home buyers that are looking to purchased a home that will allow them to have the cash flow to purchase a house rather than rent.
A reduction of the Mortgage Insurance premiums is going to go into effect soon.
Read more here:: FHA Mortgage insurance to be reduced