Last week, a new FHA rule was to have gone into effect that would have mostly barred borrowers with more than $1,000, in disputed debt, from getting an FHA-backed mortgage. According to some estimates, as many as 20% of potential FHA borrowers would instantly have become ineligible. The domino effect on the economy could have been significant. The FHA has … Read More
A New Fee Increase that will Affect Certain Home Loans
This increase is scheduled to take effect on April 1, 2012. It will increase fees for Freddie Mac and Fannie Mae home loans for both new loans and refinances. It will also affect FHA loans by increasing the annual mortgage insurance premium that borrowers pay. Fee Increase to Impact Home Loans Thanks to Bryan Johnson, Senior Mortgage Advisor with First … Read More
FHA Loan Limits Reinstated By Congress
Congress has just reinstated the loan limit formula and maximum cap for Federal Housing Administration-insured (FHA) loans for two years. The provision reinstates the FHA loan limits through 2013 at 125 percent of local area median home prices, up to a maximum of $729,750 in the highest cost markets. The floor will remain at $271,050.The loan limits for Fannie Mae- … Read More