- Insurance premium up by 10 basis points or 0.1% for loans up to $650,000.
- Insurance premium up by 5 basis points or 0.05% for loans above $650,000.
- Premiums now stay in place for entire life of the loan.
- Loans of buyers with FICO scores less than 620 and a total debt to income ratio greater than43% must be processed manually: not eligible for FHA’s automated program, TOTAL Scorecard.
- Will propose a minimum down payment of 5% for loans between $650,000 and $729,000.
With these changes, the Agency will be in a more secure position to provide the insurance required under its operating statutes.