FHA Upfront Funding Fee Increase
I like to keep all my buyers on any changes coming up in lending.
So Just an FYI
If a buyer is considering a FHA loan here is a good reason for them to move forward during the next 2 ½ months.
As of April 5, 2010, the Dept. of HUD will increase the FHA up-front mortgage insurance fees from 1.75% to 2.25%.
Therefore, on a loan of $250,000, this will be an additional fee of $1,125.
This $1,125 is not a ton of money, but couple it with the first time home buyers credit of $8,000 and a borrower
will be saving $9,125 OR a present homeowner tax credit of $6,500 a borrower will be saving $7.625.