FHA MIP Factors Increase
Effective with FHA Case Numbers assigned on or after April 18th, FHA increased the Annual Mortgage Insurance Premium (MIP) by .25%. The chart below shows the old and new MIP premiums as well as how much the monthly MIP will cost for a $200,000 base loan amount.
Old FHA MIP Factors
30 Year Fixed with min 3.5% down = .90 $150
30 Year Fixed with 5% or more down = .85 $142
15 Year Fixed with min 3.5% down = .25 $42
15 Year Fixed with 5% or more down = .00 $0
New FHA MIP Factors (as of Apr 18th)
30 Year Fixed with min 3.5% down = 1.15 $192 (increase of $42/mo)
30 Year Fixed with 5% or more down = 1.10 $183 (increase of $41/mo)
15 Year Fixed with min 3.5% down = .50 $83 (increase of $41/mo)
15 Year Fixed with 5% or more down = .25 $42 (increase of $42/mo)
There are no changes to the Up-front Mortgage Insurance Premium, which remains at 1%.
April 20, 2011 by James Williamson · 2 Comments
On FHA how much do you need to put down to not pay MI. I had a bankruptcy that is 2 years old I kept my house but I want a vacation home using FHA is that possible.
On a 30 year FHA loan, you have to pay 1.75% up-front mortgage insurance and 1.2 to 1.25% monthly mortgage insurance no matter how much you put down. This is a lot different than a Conventional loan where you can put 20% down to avoid PMI.
Bankruptcies are a challenge and you generally have to wait 2 years on an FHA loan and 4 years on a Conventional loan to obtain a mortgage after having a past bankruptcy. Chapter 13 Bankruptcies are more lenient than Chapter 7’s.
You can’t get an FHA loan against a 2nd home as they insure Primary Residences only. The minimum down payment on a Conventional 2nd home loan is 10% but excellent credit at that down payment is required.