FHA PMI update

This is an update to an earlier post reagarding FHA’s version of Mortgage Insurance (which is sometimes referred to as PMI).
As we mentioned, FHA mortgages have a one-time mortgage insurance premium, known as upfront mortgage insurance. The cost of this insurance has bounced around alot this year – and is NOW 1.75% of the loan.
This [...]

What is FHA PMI??

THERE IS AN UPDATE TO THIS INFORMATION – Please click here for CURRENT MIP information… We are leaving it here, in case someone received MIP before 1/1/2010, and wants to check on that or the refund…
If you are a potential new homebuyer, you are wading into a brand new world – with it’s own language!  [...]

Mortgage Insurance vs Default Insurance

Mortgage Insurance and Default Insurance are virtually the same thing. They are called by different acronyms, dependant upon the mortgage loan program you are using to finance your home. It was put into place in the early 1970s to protect lenders against giganitc losses created by large numbers of foreclosure (like the economic conditions we find ourselves in today!) Mark Flanders, of Spokane wrote a great article on potential ways to AVOID paying PMI – although these options are quickly going away.