HUD suspends FHA mortgage insurance premium cut

[ZiprHead]

http://www.housingwire.com/articles/39003-hud-suspends-fha-mortgage-insurance-premium-cut

"The Department of Housing and Urban Development announced it suspended the reduction of Mortgage Insurance Premiums, effective immediately.

HUD sent out an announcement just an hour after President Trump was sworn in on Friday, stating that the cuts have been suspended indefinitely."

 

[Elixir]

http://www.housingwire.com/articles/39003-hud-suspends-fha-mortgage-insurance-premium-cut

"The Department of Housing and Urban Development announced it suspended the reduction of Mortgage Insurance Premiums, effective immediately.

HUD sent out an announcement just an hour after President Trump was sworn in on Friday, stating that the cuts have been suspended indefinitely."

Stunning. I started a log thread in the president forum before seeing this one. It will be "interesting" to see the sequence of events to come.

 

[LordKiran]

So hi, not a home owner OR an owner of insurance of any kind. Clue me in?

 

[Alcoholic Actuary]

So hi, not a home owner OR an owner of insurance of any kind. Clue me in?

Mortgage Insurance or PMI is an additional fee that you pay unless or until you have 20% equity in your home. This is why it is usually advisable to have 20% for a down payment. An FHA loan is a special government sponsored loan that allows you to purchase a home for as little as 3% down (and usually better rates) - but still requires the PMI payment. As you can imagine this type of program is more beneficial in promoting home ownership among those with less wealth - so the impact of this decision is akin to an increase in taxes on the poor.

aa

 

[Loren Pechtel]

So hi, not a home owner OR an owner of insurance of any kind. Clue me in?

Mortgage Insurance or PMI is an additional fee that you pay unless or until you have 20% equity in your home. This is why it is usually advisable to have 20% for a down payment. An FHA loan is a special government sponsored loan that allows you to purchase a home for as little as 3% down (and usually better rates) - but still requires the PMI payment. As you can imagine this type of program is more beneficial in promoting home ownership among those with less wealth - so the impact of this decision is akin to an increase in taxes on the poor.

aa

Except this is not an increase at all, but rather the removal of a planned decrease.

Not getting a tax cut isn't getting a tax increase.

 

[Don2 (Don1 Revised)]

Someone doesn't know what the word akin means.