FHA Homes Loans being able to Save Average $800/ year starting March

[Matthew Kwan]

The Biden administration has announced that new FHA borrowers with a base loan amount of $726,200 or less will pay a reduced MIP of 0.55%—down from 0.85%—for the life of the loan or until they refinance into conventional mortgage. Borrowers who make a down payment of 10% or more, MIP expires after 11 years, and the cost will dip from .80% to .50% (30baiss points)


Through this MIP reduction of 30 basis points will depend on the size of your mortgage. It will give borrowers more flexibility due to the reduced insurance premiums and qualify for a bigger loan. Thoughts?

@Carlos Valencia @Albert Bui