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snowflake08
Love my boys!!!
Member since 8/07 5148 total posts
Name:
Laura
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those with FHA mortgages.....
how much is your PMI or whatever it is called with FHA
we were approved for conventional and FHA and still deciding what to do
we have the 20% to put down, but seller's concession wont cover all the closing costs so weighing our options
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Posted 8/23/09 10:42 PM  |
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Prudential Douglas Elliman Real Estate
Long Island's Largest Bridal Resource | Long Island Weddings |
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Re: those with FHA mortgages.....
It's called MIP with a FHA mortgage.
First, you have to pay an upfront premium fee during closing that is equal to 1.5% or 1.75% of your loan amount (the rate may have changed recently). Then, you have to pay a monthly MIP fee. That is equal to 0.5% of your loan, divided by 12 months.
So, if you have a $200,000 loan, your upfront premium is $3,000 (assuming 1.5%). Then, your monthly MIP fee is $83.
I'm not sure, but I think your PMI for the same loan would be almost $300/month.
There are also some restrictions on how long you have to carry your MIP insurance and if you're going for a house or condo, that matters...
Message edited 8/23/2009 11:19:30 PM.
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| Posted 8/23/09 11:19 PM |
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snowflake08
Love my boys!!!
Member since 8/07 5148 total posts
Name:
Laura
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Re: those with FHA mortgages.....
thanks
the problem is, that with the FHA loan, you have to pay the MIP for 5 years EVEN if you put down the 20% and I really DONT want to do that
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| Posted 8/23/09 11:48 PM |
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rkoenke
my little piggys
Member since 3/08 4315 total posts
Name:
rachel
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Re: those with FHA mortgages.....
Posted by snowflake08
thanks
the problem is, that with the FHA loan, you have to pay the MIP for 5 years EVEN if you put down the 20% and I really DONT want to do that
RIGHT! and conventional, if your house appraises under the 80% LTV before the five years, you can get it wiped out.
depends on what you are paying on your home... if you are getting it under market value, go with conventional...
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| Posted 8/24/09 8:29 AM |
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Re: those with FHA mortgages.....
Yeah, typically FHA's are more for people that don't have the 20% (and maybe for people with less than steller credit?). If you've got the 20%, you'd be paying a lot of unneccesary fees with the FHA and probably have a slightly higher interest rate.
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| Posted 8/24/09 8:44 AM |
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Nifheim
allo
Member since 1/09 5476 total posts
Name:
Jennifer
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Re: those with FHA mortgages.....
FHA = PIA if you can go conventional go for it if not like everyone said its five years min no early removal, we are paying about $85-90 per month and 3k is added to the mortgage for the "fee" to have the loan. Plus if there is anything wrong with the house they will nail you for that to get done before closing (peeling paint, bad electric, etc)
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| Posted 8/24/09 9:21 AM |
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Re: those with FHA mortgages.....
There was plenty wrong with my house :p, FHA didn't care.
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| Posted 8/24/09 9:32 AM |
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babymakes3
Almost there!
Member since 7/06 7376 total posts
Name:
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Re: those with FHA mortgages.....
Posted by rkoenke
Posted by snowflake08
thanks
the problem is, that with the FHA loan, you have to pay the MIP for 5 years EVEN if you put down the 20% and I really DONT want to do that
RIGHT! and conventional, if your house appraises under the 80% LTV before the five years, you can get it wiped out.
depends on what you are paying on your home... if you are getting it under market value, go with conventional...
We went with conventional for this reason (and we didn't have 20% down). We paid under market value for our home and we'll be able to wipe out PMI before 5 years. I think in your case with 20% down, you'd be better off with a conventional mortgage.
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| Posted 8/24/09 9:41 AM |
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Nifheim
allo
Member since 1/09 5476 total posts
Name:
Jennifer
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Re: those with FHA mortgages.....
Posted by RammsteinNicCage
There was plenty wrong with my house :p, FHA didn't care.
you are lucky we are getting nailed for the exterior so we have to repair it before we close.
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| Posted 8/24/09 9:58 AM |
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Cpt2007
A new love!
Member since 1/08 5946 total posts
Name:
Liz
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Re: those with FHA mortgages.....
have you talked with your bank about doing a conventional loan with less than 20% down? We are putting 5% down on a conventional and don't have to pay PMI. We're going through our credit union.
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| Posted 8/24/09 10:01 AM |
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Re: those with FHA mortgages.....
Cpt2007, are you doing an 80/15 loan? I think that's the only way to avoid PMI when you don't have 20% down.
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| Posted 8/24/09 10:39 AM |
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Megs4
LIF Adult
Member since 11/08 1619 total posts
Name:
Megan
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Re: those with FHA mortgages.....
Posted by babymakes3
Posted by rkoenke
Posted by snowflake08
thanks
the problem is, that with the FHA loan, you have to pay the MIP for 5 years EVEN if you put down the 20% and I really DONT want to do that
RIGHT! and conventional, if your house appraises under the 80% LTV before the five years, you can get it wiped out.
depends on what you are paying on your home... if you are getting it under market value, go with conventional...
We went with conventional for this reason (and we didn't have 20% down). We paid under market value for our home and we'll be able to wipe out PMI before 5 years. I think in your case with 20% down, you'd be better off with a conventional mortgage.
Uggh - we started conventional then had to switch to FHA because while we were in the middle of everything the bank changed its policies, etc. (but our closing took longer than normal).
We did conventional to start for this same reason as well, but then were told by the bank we could still wipe it out with FHA but that it was 2 years instead of one...
With how messed up everything was for us it figures that they told us the wrong info for that too.
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| Posted 8/24/09 11:05 AM |
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Megs4
LIF Adult
Member since 11/08 1619 total posts
Name:
Megan
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Re: those with FHA mortgages.....
Posted by RammsteinNicCage
Cpt2007, are you doing an 80/15 loan? I think that's the only way to avoid PMI when you don't have 20% down.
I found that most banks in the LI area won't do that anymore...
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| Posted 8/24/09 11:06 AM |
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mandasue
LIF Adolescent
Member since 3/09 772 total posts
Name:
Amanda
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Re: those with FHA mortgages.....
i think we pay like 120 bucks a month, something around that......
sorry i am bad with numbers
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| Posted 8/24/09 11:56 AM |
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