February 16th, 2011 1:24 PM by Teresa Molina
FHA recently announced that the FHA monthly Mortgage Insurance Premium will be increasing .25. What this means to borrowers, is that the increase will give you a higher monthly payment. This increase takes effect in April 2011.
If you are thinking of buying and will be using FHA financing, you can still take advantage of the lower monthly factor if you are under contract before the new change takes affect. For example, if your loan amount is $200,000 the new increase could increase your monthly payment by $50 per month.
This is another good reason to buy now and take advantage of the lower monthly premium.