FHA to Reduce Annual Insurance Premiums on Most Mortgages

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WASHINGTON – As the nation’s housing market continues to improve, U.S. Housing and Urban Development Secretary Julián Castro today announced the Federal Housing Administration (FHA) will reduce the annual premiums most borrowers will pay by a quarter of a percent. FHA’s new premium rates are projected to save new FHA-insured homeowners an average of $500 this year.

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FHA Mortgage Insurance Premium Reduction a Fresh Start, Says NAR President Brown

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WASHINGTON (January 9, 2017) – Lower costs are coming for homebuyers seeking a Federal Housing Administration -insured mortgage.

FHA announced today that they are cutting annual premiums for mortgage insurance from 0.85 percent to 0.60 percent, a move the National Association of Realtors® said breathes new life into the program.

“FHA mortgage products exist to serve an important mission: providing homeownership opportunities to creditworthy borrowers who are overlooked by conventional lenders,” said NAR President William E. Brown, a Realtor® from… Read More

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