Jan 9th- HUD announced today that mortgage insurance is being reduced starting loans that close/disburse Jan 27, 2017! This is great news that will help people on their road to homeownership.

An example would look something like this:

• Current: ($366,145 mortgage; 3.5% Down)= $252.76 /month
• NEW: $178.42 /month
• SAVINGS: $74.34 / month
• SAVINGS over 72 months: $5,352.48

The reason HUD has made this decision is based on the strength of FHA’s Mutual Mortgage Insurance Fund. That has gained in value as loans from 2009 forward have been performing as a result of oversight to approve new mortgages. So yes, you may feel like they are asking for more information to approve your mortgage, but as you can see there are positive repercussions as a result as well.

Here is an excerpt of the Secretary’s statement: “After four straight years of growth and with sufficient reserves on hand to meet future claims, it’s time for FHA to pass along some modest savings to working families,” said Secretary Castro.  “This is a fiscally responsible measure to price our mortgage insurance in a way that protects our insurance fund while preserving the dream of homeownership for credit-qualified borrowers.”

So as you can see FHA mortgage insurance being reduced will be valuable to those who use FHA mortgages to buy or refinance their homes.

Call now to learn more 303-779-0591 or go online to fill out an application through the resources tab on our home page.

• To read the official HUD press release click through here.

TERM > 15 Years

TERM 15 Years Or Less

Streamline, Simple Refinance of Previous Mortgage endorsed on or before May 31, 2009

Term > 15 Years

Term 15 Years or Less