|MIP/PMI Changes||As of June 3, 2013, new rules for FHA Mortgages have gone into effect concerning Mortgage Insurance (PMI/MIP). These changes include:1: revision to the period for assessing the annual MIP;
2: removal of the exemption from the annual MIP for loans with terms of 15 years or less and LTVs of less than or equal to 78 percent of origination;
3: increase in the annual MIP for mortgages with terms less than or equal to 15 years and LTV ratios less than or equal to 78 percent at origination.
|Revision to the Period for Assessing Annual MIP||The table below shows the previous and the new duration of annual MIP by amortization term and LTV ratio at origination.
|Increase to Annual Mortgage Insurance Premium||The first table shows the previous and the new annual MIP rates by amortization term, base loan amount and LTV ratio. All MIPs in this table are effective for case numbers assigned on or after April 1, 2013.
The second table shows the previous and the new effective annual MIP rates for loans with an LTV of less than or equal to 78 percent and with terms of up to 15 years. The new annual MIP for these loans is effective for case numbers assigned on or after June 3, 2013.
|Exceptions to MIP Duration Changes||The changes to the duration of the annual MIP are effective for all Single Family FHA programs for which FHA charges an annual MIP except:1: Title I
2: Home Equity Conversion Mortgages (HECM)