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Guide To Single Family Home Mortgage Insurance
Mortgage Insurance Premium
HUD charges a premium to insure mortgages. The premiums are used to pay claims to lenders when a borrower defaults on an FHA-insured mortgage.
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Most borrowers with FHA-insured mortgages currently pay an up-front and annual mortgage insurance premium (MIP). The up-front MIP can be financed into the mortgage. Your lender can provide you with more information about MIP charges.
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_________________________ Table of Contents How FHA Mortgage Insurance Works Who Can Get an FHA-Insured Mortgage? Types of Mortgages FHA Insures Shopping for an FHA-Insured Loan Initial Investment (Down payment) Closing Costs and Prepaid Items Payments on an FHA-Insured Mortgage Limits on FHA-Insured Mortgages The Most Frequently Used FHA Mortgage Insurance Programs Other FHA Mortgage Insurance Programs For more information on these and other FHA programs, please contact your local FHA approved lender. Source: General Services Administration
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