Mortgage Insurance for FHA Insured Loans

Updated 9/16/16 

Mortgage insurance is a policy that protects lenders against losses that result from defaults on home mortgages. FHA requirements include mortgage insurance for all borrowers.

Current Up-Front Mortgage Insurance Premium 

The UPMIP is currently at 1.75% of the base loan amount. This applies regardless of the amortization term or LTV ratio.

Current Up-Front MIP on Certain Streamline FHA Refinances

Streamline refinance transactions that are refinancing FHA loans endorsed on or before May 31, 2009, the UFMIP is currently 0.01 percent of the base loan amount.

Current Annual MIP on Certain Streamline FHA Refinances

Streamline refinance transactions that are refinancing FHA loans endorsed on or before May 31, 2009, the Annual MIP will be 55 basis points, regardless of the base loan amount and takes effect on or after June 11th, 2012.

*Revision to the Annual MIP Premium – as per Mortgagee Letter 2015-01

There will be no change in Annual Mortgage Insurance Premiums for all case numbers assigned on or after January 26th, 2015 for the following:

1. On loans with a Loan to Value of less than or equal to 78% and with terms up to 15 years. The annual MIP for these loans will remain at 45 basis points.
2. On terms <= 15 years and loan amounts <=$625,500 - If the loan to value is <= 90%, the Annual Premium remains the same at 45 basis points (bps). If the loan to value is >90%, the Annual Premium remains the same at 70 basis points (bps).
3. On terms <= 15 years and loan amounts >$625,500 - If the loan to value is 78.01% - 90.00%, the Annual Premium remains the same at 70 basis points (bps). If the loan to value is >90%, the Annual Premium remains the same at 95 basis points (bps).

There will be the following reduction in premiums in Annual Mortgage Insurance Premiums for all case numbers assigned on or after January 26th, 2015 for the following:

1. On terms > 15 years and loan amounts <=$625,500 - If the loan to value is <= 95%, the new Annual Premium is reduced from 130 basis points (bps) to 80 basis points (bps). If the loan to value is >95%, the new Annual Premium is reduced from 135 basis points (bps) to 85 basis points (bps).
2. On terms > 15 years and loan amounts >$625,500 - If the loan to value is <= 95%, the new Annual Premium is reduced from 150 basis points (bps) to 100 basis points (bps). If the loan to value is >95%, the new Annual Premium is reduced from 155 basis points (bps) to 105 basis points (bps).

Term > 15 Years

Base Loan Amount

LTV

Effective

Annual MIP

< = $625,500

< = 95.00%

26-Jan-15

80 bps

< = $625,500

>95.00%

26-Jan-15

85 bps

Above $625,500

< = 95.00%

26-Jan-15

100 bps

Above $625,500

>95.00%

26-Jan-15

105 bps

Term < = 15 Years With LTV Above 78%

Base Loan Amount

LTV

Effective

No Changes to Annual MIP

Any Loan Amount

< =78.00%

3-June-13

45 bps

< = $625,500

< =90.00%

1-April-13

45 bps

< = $625,500

>90.00%

1-April-13

70 bps

Above $625,500

< = 90.00%

1-April-13

70 bps

Above $625,500

>90.00%

1-April-13

95 bps

*No Revision to the time period for Assessing Annual MIP

For loans with FHA case numbers assigned on or after June 3, 2013, FHA will collect the annual MIP, which is the time on which you will pay for FHA Mortgage Insurance Premiums on your FHA loan. They are as follows:

Term

LTV %

Previous

New

< = 15 yrs

< = 78

No Annual MIP

11 years

< = 15 yrs

> 78 - 90.00

Cancelled at 78% LTV

11 years

< = 15 yrs

> 90.00

Cancelled at 78% LTV

Loan Term

> 15 yrs

< = 78

5 years

11 years

> 15 yrs

>= 78 - 90.00

Cancelled at 78% LTV & 5 yrs

11 years

> 15 yrs

> 90.00

Cancelled at 78% LTV & 5 yrs

Loan Term

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702-326-7866 

www.ilendlasvegas.com