FHA Loans, Are They Right For You?

Are you a borrower looking to save money on your mortgage payments in 2023? If so, we have great news for you! The Federal Housing Administration (FHA) has recently announced some significant changes to its mortgage insurance premiums that could help you save thousands of dollars over the life of your loan. Starting in January 2023, the FHA will be reducing its annual mortgage insurance premium (MIP) rates by 25 basis points for most FHA loans. For example, if you have a $250,000 FHA loan, your annual MIP rate will be reduced from 0.85% to 0.6%, which could save you over $40 per month, or nearly $500 per year. Over the life of a 30-year mortgage, this could add up to savings of over $14,000. The FHA's mortgage insurance premiums are used to protect lenders in case borrowers default on their loans. The premiums are typically added to borrowers' monthly mortgage payments and can make homeownership more expensive for many people. By reducing these premiums, the FHA hopes to make homeownership more accessible and affordable for more Americans. It's important to note that these changes only apply to FHA loans, which are now becoming a popular choice for first-time homebuyers, borrowers with lower credit scores and those looking for lower rates. If you're interested in taking advantage of these new rates, contact Jill Bartoletti team to see if you qualify for an FHA loan. By taking advantage of these changes, you could save thousands of dollars over the life of your mortgage and make homeownership more affordable for you and your family.

- Jill Bartoletti w/ Movement Mortgage
jill.bartoletti@movement.com
425-444-9855