You know those nasty premiums that come along with mortgage loans? Those ones that everyone hates to deal with. Yeah, well I think you’re about to hate FHA (Federal Housing Administration) premiums even more. FHA Acting Commissioner, Carol Galante, made an announcement regarding their current premium points. It appears the “basis” points” will soon be on the rise.
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The change to the FHA insurance premiums will officially be enacted as of April 1, 2012. That is definitely something none of like to hear. Now even though the exact details have yet to be released in regards to the insurance premiums, it is certain that premiums on “forward” mortgages will raise 10 “basis points.” While jumbo loans will see an increase of 25 “basis points.”
It’s not all bad news though when it comes down to premiums with the Federal Housing Administration. If you haven’t heard of the FHA Streamline Refinance program, you’re really missing out on a great opportunity to refinance. FHA Streamline Refinance was created to allow homeowners with loans owned or guaranteed by the FHA to refinance with today’s record low mortgage rates. Well in regards to premiums, experts are expecting the premiums of the FHA Streamline Refinance program will drop in the near future.
Be sure to stay up-to-date with all of the latest real estate and mortgage-based news by checking out our blog. Now if you’re interested in refinancing your Michigan property under FHA Streamline Refinance or another mortgage program like HARP, just give our certified loan-officers at Riverbank Finance in Grand Rapids, Michigan a call at 1-800-555-2098.