SubscribeLong time attractive FHA feature is becoming less attractive soon!
FHA is a great program for the reasons of accepting lower credit scores with out extra fee “add ons” and being able to handle scores below 640 with a minimal .250% fee. In addition to requiring less of a down payment and greater cash out percentages, FHA financing also has downright reasonable mortgage insurance! The monthly mortgage insurance fee will still be a bargain but beginning April 1st, 2010 the upfront mortgage insurance fee that is added to your loan amount will be increased to 2.25% from the current factor of 1.75% and if you are in the market to by you would do well to avoid this cost. For example, this amounts to an extra $1,250 on a loan of $250,000! FHA is a great program for many first time single family buyers but it is an especially affordable way to purchase an owner occupied multi-family. This FHA change and the fact that the homebuyer taxcredt will be disappearing on April 30th makes this an apportunity not to be missed if you are considering a purchase. Don’t wait too long since you need to have your FHA case number prior to April 1st in order to avoid an additional half of one percent added to the upfront mortgage insurance. If you need more information and would like to find out if an FHA loan or any other loan is a good fit for you please call me at 207-878-7770 or 207-831-7582. You may email me too at jeffrey@firstportland.com
Thank you!
Jeff Davison
First Portland Mortgage Corp.
Maine Mortgage Specialist
Our company is licensed to originate loans in Maine and New Hampshire!
