**Update to this blog entry.  White House Chief of Staff Reince Priebus issued a memorandum Friday night, January 20, 2017 to all executive departments and agencies to freeze new or impending regulations giving the new administration time to review them.  This includes the reduction of MIP rates that were set to take place January 27, 2017.  According to a report from CNN, this is fairly standard for a new administration taking over from the other party.  To see the full article click here.  

 

The Federal Housing Administration (FHA) which is part of the Department Housing and Urban Development (HUD) announced on January 9 a reduction in Mortgage Insurance Premium of one quarter percent for most borrowers on closings/disbursements happening on or after January 27, 2017. This is great news for home buyers using a FHA loan.  For the average homeowner, this is expected to be a $500 savings annually in insurance costs.

To see the full news from HUD, click here.

FHA has been helping people become homeowners since 1934. FHA insures the loan so your lender can offer you a better deal.  With a FHA loan, your down payment can be as little as 3.5%.  If you have questions about FHA loans or what loan type is best for you, contact our office for a free loan analysis.