FHA
FHA is INCREASING the upfront mortgage insurance premium in April
February 28, 2012 by financemyhome1 · Leave a Comment
I just got the news flash. It is going from 1% to 1.75%. Also, the allowed seller contribution to a buyer’s closing costs MAY decrease to 3% from 6%. The closing cost contribution change is still up for discussion. FHA loans have kept this market moving along. Now, with these changes, it is yet another obstacle getting in the way of a housing recovery. Why don’t they ask me? I’d be happy to tell them how to fix the housing crisis from a “boots on the ground” perspective.
FHA
Insured Conventional Loan Vs FHA-Which Is Better
April 21, 2011 by financemyhome1 · Leave a Comment
There are many factors that go into a loan decision-credit scores, down payment, debt ratios, etc. One big question is whether you should consider buying a home with an insured conventional loan using 5% down or applying for an FHA loan with 3.5% down. The information below might make that decision easier. In fact, if FHA continues to raise the cost of their monthly mortgage insurance-known as MIP-the decision may start to favor conventional loans with PMI-private mortgage insurance. Remember, everyone’s situation is different. This information just gives you one more way to look at financing your purchase.
FHA
Gifts and Grants can be considered towards borrowers funds on certain 3% down conventional loans
March 14, 2011 by financemyhome1 · Leave a Comment
Yes, you read that right. I just got an email today from a leading mortgage insurance company that is willing to underwrite this loan. You will need at 740 or better score. But, what an opportunity. In many ways, this is like FHA, but with a little higher credit threshold. The KEY difference, besides credit score, is the lack of an upfront MI (mortgage insurance) premium and as well as a smaller required monthly premium. This product could be a game changer for the MI company and conventional loans.
