While the Up Front Mortgage Insurance Premiums (UFMIP) remained the same, the monthly payment on an FHA loan will rise again for all case numbers ordered on or after April 18, 2011 with the new higher annual premium.    See all the new factors below and how to calculate payments.

Example: 

$300,000 sales price @ 5% interest rate fixed for 30 yrs with a 3.5% down payment (96.5 % LTV)

$300,000 - $10,500 = $289,500 Base Loan Amount

$289,500 x 1% = $2,895 UFMIP

$289,500 + $2,895 = $292,395 Total Loan Amount

$289,500 x 1.15% ÷ 12 = $277.44 Annual Mortgage Insurance (paid monthly)

Monthly Payment Calculation on $292,395 Total Loan Amount

Principal and Interest     $ 1,570

Annual Mort Ins                   277

Taxes (estimate)                 313

Hazard Ins (estimate)           84 

Total Monthly Payment  $ 2,244 

» 3 First Time Homebuyer Programs You Must Know in California «

Lets connect and schedule the time to see how this change affects you!  Feel free to contact me anytime Ric Dizon, iMortgage Long Beach (714)396-6829.

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