While this video simplifies things to help you remember, except for the addition of an FHA mortgage insurance premium, FHA closing costs are similar to those of a conventional loan.
As of 2013, the FHA requires a single, upfront mortgage insurance premium equal to 2.25% of the mortgage to be paid at closing (or 1.75% if you complete the HELP program).
This initial premium may be partially refunded if the loan is paid in full during the first seven years of the loan term.
After closing, you will then be responsible for an annual premium – paid monthly – if your mortgage is over 15 years or if you have a 15-year loan with an LTV greater than 90%.
Latest posts by TitleTap (see all)
- A guide to building + marketing your solo law firm website - November 19, 2020
- TitleTap’s New and Improved Net Sheet Rate Calculator Can Help You Close More Real Estate Faster! - November 18, 2020
- How to land more clients as a solo attorney - November 4, 2020