Kentucky FHA Single Family Mortgage Insurance: Annual & Up-Front Mortgage Insurance Premium Changes


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Kentucky Single Family Mortgage Insurance:
Annual & 
Up-Front Mortgage Insurance Premium Changes
Please take note of some important changes to the FHA Single Family Annual Mortgage Insurance Premium (Annual MIP) and Up-Front Mortgage Insurance Premium (UFMIP).


Decrease to Annual Mortgage Insurance Premium on Certain Streamline Refinance Transactions 
For all SF Forward Streamline Refinance transactions that are refinancing FHA loans endorsed on or before May 31, 2009, the Annual MIP will be 55 bps, regardless of the base loan amount. The endorsement date is on the Case Query screen in FHA Connection. This change is effective for case numbers assigned on or after June 11, 2012.

 Decrease to Up-Front Mortgage Insurance Premium on
Certain Streamline Refinance Transactions
For all SF Forward Streamline Refinance transactions that are refinancing existing FHA loans that were endorsed on or before May 31, 2009, the UFMIP will decrease from 1 percent to 0.01 percent of the base loan amount. The endorsement date is on the Case Query screen in FHA Connection. This change is effective for case numbers assigned on or after June 11, 2012.


 

Increase to Annual Mortgage Insurance Premium on Mortgages with a
High Balance Base Loan Amount
FHA is exercising its pre-existing statutory authority to add an additional 25 bps to mortgages with base loan amounts exceeding $625,500. This change is effective for case numbers assigned on or after June 11, 2012. The table below shows the new effective annual premium rates by amortization term, base loan amount and LTV ratio. It also shows when the new Annual MIP takes effect, based on FHA Case Number assignment date.
 
Note:  New FHA Forward mortgages with amortization terms of 15 years or less, and a loan-to-value (LTV) ratio of 78 percent or less, remain exempt from the Annual MIP (see Mortgagee Letter 2011-35).

To read Mortgagee Letter (ML) 2012-4: ML 2012-04
Thank you for your continued interest in

Joel Lobb (NMLS#57916)
Senior  Loan Officer
502-905-3708 cell
502-813-2795 fax
jlobb@keyfinllc.comKey Financial Mortgage Co. (NMLS #1800)*
107 South Hurstbourne Parkway*
Louisville, KY 40222*

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2 thoughts on “Kentucky FHA Single Family Mortgage Insurance: Annual & Up-Front Mortgage Insurance Premium Changes

  1. Pingback: Mortgage Mix: How Does a Home Equity Loan Work? « Home Equity Debt Consolidation

  2. Pingback: Kentucky FHA Single Family Mortgage Insurance: Annual & Up … - mortgage-insurance

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