FHA Guideline Changes

By April 1, 2012Uncategorized

FHA has a few changes coming down starting with Case Numbers assigned after 4/1/2012

  • Mortgage Insurance – UP Front MI is going to 1.75% (Old amount was 1.00%)
  • Monthly MI is increasing .10% (30 year loans > 95% will be 1.25% &
  • Collection Accounts – If the total outstanding balance of all collections accounts is equal to or greater than $1000 the borrower must resolve the accounts.
  • Year to Date P&L’s – P&L’s and Balance Sheets will be Required on almost all self-employed loans

I have attached the Mortgagee Letter for the P&L’s and Collections accounts but FHA hasn’t released the letter on the MI changes. These changes are only for case numbers assigned after 4/1/12.

Mortgagee Letter 2012-3 (PDF, 119kb)