FHA Monthly MI to increase .25% (annually) for all FHA Case Numbers pulled after 4/18/2011
by Ben Nicolas
on Monday, February 14th, 2011 at 6:09pm.
HUD is doing this because apparently their insurance reserve is low, FHA volume only picked up since the Mortgage Industry imploded. Since that time values have crashed and many first time homebuyers who use FHA financing have rates so low that they are literally owning for less than they can rent for, why would they default? Are defaults really that high with FHA now? What is draining the HUD insurance reserves so quickly?