FHA Mortgage Insurance

FHA requires you pay for a minimum of 5 years. Once you pay down your INITIAL loan balance to 78% then it will drop off.. (it supposed to do this automatically, however you will probably need to request it).. It is not based on your home's Value.. It's based on your original loan amount.. So if you borrow $100K.. You pay your loan down to 78% and you're past the 5 year mark, then even if your home is only worth $50k, it should still fall off. In a different scenario, if your are past 5 years but you have not paid down your original principal balance to 78%.. Even if your home is worth double what you paid for it initially, the insurance will not drop off until you're at 78% of the original principal.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

By statute, FHA premiums on a 30 year loan will continue until the loan balance is at or below 78% of the original appraised value used to make the loan, or 60 months, whichever is longer. If your take out a new FHA loan today, and on September 1, pay the balance down to 50% of the original value, you'd still have MIP payments for five years. Even if your property value doubles it stays for 5 years. The only other way to cancel it is to refinance out of an FHA loan into a conventional loan. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ www.LoansA2z.com ~ 888-889-9950

Hi. You will have to pay the mortgage insurance for a minimum of 5 years and then if you your loan to value is at 78% or less you can ask the lender to remove it. I can help you if you would like to discuss your situation more. Michelle 201-962-3555

You will have to pay FHA Annual Mortgage Insurance Premiums for the greater of 60 months or the time it takes to achieve 78% loan-to-value based on the original loan amount. This is true if you actually keep the FHA Insured Home Loan for that length of time. If you pay down or accelerate through your principle ahead of the amortization schedule, you may consider refinancing to a conventional loan.