Applications for home loans backed by the Federal Housing Administration surged ahead of the April 1 effective date for fee increases on mortgage insurance premiums.
With the comment period just ended, the Federal Housing Administration is poised to lower the maximum loan-to-value, or LTV, from 96.5 percent to 95 percent on insured loans of more than $625,500, with certain exemptions.
The Federal Housing Administration said it is raising mortgage-insurance premiums and increasing the minimum down payment on jumbo loans because it needs to protect its insurance fund and draw more private capital into the housing market.
The Federal Housing Administration is directing FHA lenders to release insurance payouts to borrowers affected by disasters such as Hurricane Sandy, instead of applying that money to bring delinquent mortgages current.
The housing market is in a sustained recovery and mortgage rates remain at historic lows, but potential first-time homebuyers don’t seem to be benefiting from this wave of affordability, according to the latest survey from 2,500 real estate agents nationwide.
Facing a possible taxpayer bailout for the first time, the Federal Housing Administration will raise mortgage-insurance premiums while boosting relief for distressed borrowers, U.S. housing officials said today.
The national index measuring mortgage applications for both purchases and refinancing dropped 7.4 percent last week, as borrowers have seen interest rates bounce up from historic lows this month, according to the Mortgage Bankers Association.
U.S. housing officials have started to accept applications from private investors interested in purchasing pools of severely distressed loans formerly insured by the Federal Housing Administration.
Feeling emboldened after pushing Congress to extend lower student loan rates for a year, the Obama Administration has switched its focus to getting more Americans underwater on their mortgages into a new refinancing program at today’s historically low interest rates.
There were more than 51,000 applications for the Federal Housing Administration’s Streamline Refinance Program in the first ten days following recent cuts to FHA mortgage insurance premiums, U.S. housing officials say.