FHA
Mortgage Insurance
Mortgage insurance is a policy that
protects lenders against losses that
result from defaults on home mortgages.
FHA loans require mortgage insurance
primarily for borrowers making a down
payment of less than 20 percent.
Mortgage insurance is charged to the
homeowner each month at the rate of .55%
for above 95% LTV and .50% at or below 95%
LTV.
FHA also charges an upfront mortgage
insurance premium of 1.75 percent.
FHA's monthly mortgage insurance
payments will be automatically terminated
when these conditions occur:
For mortgages with terms 15 years and less
and with Loan to Value ratios 90 percent
and greater, annual premiums will be
canceled when the Loan to Value ratio
reaches 78 percent regardless of the
amount of time the mortgagor has paid the
premiums.
For mortgages with terms more than 15
years, the annual mortgage insurance
premiums will be canceled when the Loan to
Value ratio reaches 78 percent, provided
the mortgagor has paid the annual premium
for at least 5 years.
Mortgages with terms 15 years and less and
with Loan to Value ratios of 89.99 percent
and less will not be charged annual
mortgage insurance premiums.
Would you
like more information about how we can
help you?
Please
Apply Online Now complete our
Request More
Information form or you may also
call and speak directly to a Loan
Specialist, Toll-Free at 1-800-238-9202
Fax or mail to:
Financial
Services Unlimited Inc.
11950 SW 2nd St.
Suite 300
Beaverton, OR 97005
(503) 626-8910 (Fax)
Toll-Free at 1-800-238-9202
