{"id":60,"date":"2008-06-04T09:10:25","date_gmt":"2008-06-04T14:10:25","guid":{"rendered":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/?p=60"},"modified":"2012-04-25T17:29:26","modified_gmt":"2012-04-25T22:29:26","slug":"risk-based-pricing","status":"publish","type":"post","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/risk-based-pricing\/","title":{"rendered":"Risk Based Pricing?"},"content":{"rendered":"

\"fha<\/strong><\/p>\n

This information is about FHA PMI in June of 2008. \u00a0This program has changed 8 times from 2008 to 2012. \u00a0Current FHA PMI rates<\/a><\/p>\n

You are buying a home this summer and you are LOVIN’ Life!\u00a0 Yippee!<\/strong><\/p>\n

Well, if you have credit scores over 640 – there’s more good news!\u00a0 Effective July 14 FHA will move to Risk Based MIP and your cost of home ownership will be less! \u00a0What is Risk Based MIP? \u00a0Well, it’s really just the FHA PMI. \u00a0FHA insures mortgage loans, they don’t really “Make” loans – so this is their new Insurance Pricing.<\/p>\n

So, what does Risk Based MIP mean and what happens if your score is NOT a 640?<\/p>\n

Risk Based MIP means that if you are considered a lower “risk”, because your <\/strong>credit score is 580 <\/strong>(for example) then you will have a higher UFMIP.\u00a0 What is UFMIP??<\/strong>\u00a0 It’s the UpFront Mortgage Insurance Premium charged on an FHA loan, and there’s a monthly fee too.<\/p>\n

This is going up to 2.0%… meaning that if you borrow $100,000 on an FHA loan – you will also be charged $2000 in MIP.\u00a0 This mortgage insurance is ADDED to your loan – so your Principal and Interest payments are now based on $102,000 (base loan of $100,000 plus MIP of $2,000).\u00a0 If you sell the home or refinance in the first 7 to 10 years then a portion of the MIP is refunded back to you.<\/p>\n

The most significant part of this change is NOT that the <\/strong>UFMIP<\/strong> is going up… the most significant part is that FHA is going to these steps which many see as the first in moving FHA into the “new” sub prime role.<\/strong>\u00a0 The Risk Based Matrix actually accept scores down to 525 (and lower)… although we don’t know of “Investors” who are willing to purchase loans at these low credit scores.\u00a0 FHA does not make loans – they only insure them.<\/p>\n

So even though their matrix says you can have a lower score and get a FHA loan – it doesn’t mean that SunTrust (for instance) has to make loans at the lower score.\u00a0 Our best bet is that it will be at least 12 months before loans for people with credit scores under 580 are made.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

This information is about FHA PMI in June of 2008. \u00a0This program has changed 8 times from 2008 to 2012. \u00a0Current FHA PMI rates You are buying a home this summer and you are LOVIN’ Life!\u00a0 Yippee! Well, if you have credit scores over 640 – there’s more good news!\u00a0 Effective July 14 FHA will […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[67],"tags":[324,84,72,69,71,65,68],"yst_prominent_words":[3208,3335,2915,2936,2943,5515,8221,2942,2921,10925,8192],"class_list":{"0":"post-60","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-fha","7":"tag-fha-pmi","8":"tag-fha-programs","9":"tag-first-time-homebuyers","10":"tag-garner","11":"tag-mortgage-loans","12":"tag-mortgages","13":"tag-wake-forest","14":"entry","15":"has-post-thumbnail"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p2NEbf-Y","jetpack_likes_enabled":true,"jetpack-related-posts":[{"id":85,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/new-fha-insurance-premiums\/","url_meta":{"origin":60,"position":0},"title":"New FHA Insurance Premiums","author":"Eleanor Thorne","date":"August 28, 2008","format":false,"excerpt":"THIS POST IS DATE SPECIFIC... note that FHA has changed it's MIP charges 7 times between 2008 and 2012. 2013 FHA PMI RATE INFORMATION We are leaving this time sensitive data up as a point of reference for people who purchase during that time.\u00a0 Depending on when you closed, the\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":46,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/what-is-fha-pmi\/","url_meta":{"origin":60,"position":1},"title":"What is FHA PMI?? As of April 2008","author":"Eleanor Thorne","date":"April 14, 2008","format":false,"excerpt":"THERE IS AN UPDATE TO THIS INFORMATION - Please click here for CURRENT FHA PMI information... We are leaving it here, in case someone received FHA's PMI before 1\/1\/2010, and wants to check on that or the refund... If you are a potential new homebuyer, you are wading into a\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"fha_pmi","src":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2008\/04\/fha_pmi.jpg?fit=598%2C439&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2008\/04\/fha_pmi.jpg?fit=598%2C439&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2008\/04\/fha_pmi.jpg?fit=598%2C439&ssl=1&resize=525%2C300 1.5x"},"classes":[]},{"id":874,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/fha-pmi-changes-1042010\/","url_meta":{"origin":60,"position":2},"title":"FHA PMI Changes 10\/4\/2010","author":"Eleanor Thorne","date":"August 13, 2010","format":false,"excerpt":"FHA Continues to make changes to their PMI Rates.\u00a0\u00a0Because of the number of defaults \u2013 the monthly rates and the upfront rates for FHA Mortgage Insurance continues to change. \u00a0We keep this information on the site for folks who received a FHA Mortgage loan on, or around October of 2010.\u00a0\u00a0We\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2010\/08\/yawn-380x540.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":29014,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/fha-mortgage-insurance-rates-2025\/","url_meta":{"origin":60,"position":3},"title":"FHA Mortgage Insurance Rates in 2025","author":"Eleanor Thorne","date":"June 11, 2025","format":false,"excerpt":"FHA Mortgage Insurance Rates in 2025: What NC Homebuyers Need to Know (It\u2019s Not PMI!)\u00a0 If you\u2019re buying your first home in North Carolina \u2014 whether it\u2019s in Raleigh, Fuquay-Varina, or a more rural area \u2014 there\u2019s a good chance you\u2019re looking into FHA loans. And if you are, you\u2019ve\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"FHA Mortgage Insruanc Rates","src":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2025\/06\/fha-mortgage-isurance-rates.png?fit=1200%2C675&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2025\/06\/fha-mortgage-isurance-rates.png?fit=1200%2C675&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2025\/06\/fha-mortgage-isurance-rates.png?fit=1200%2C675&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2025\/06\/fha-mortgage-isurance-rates.png?fit=1200%2C675&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2025\/06\/fha-mortgage-isurance-rates.png?fit=1200%2C675&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":671,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/congress-making-changes-to-fha-mortgages\/","url_meta":{"origin":60,"position":4},"title":"Congress Making Changes to FHA Mortgages","author":"Eleanor Thorne","date":"April 30, 2010","format":false,"excerpt":"THE FHA PMI Mortgage Rates referred to in this post is OUTDATED. \u00a0We have the most Updated FHA PMI information, but keep this post here for the people who got a FHA loan around April of 2010. \u00a0For some folks, FHA Mortgage Insurance was refundable - and for others it\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-content\/uploads\/2010\/04\/newconstruction.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":3544,"url":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/when-does-fha-pmi-stop\/","url_meta":{"origin":60,"position":5},"title":"When Does FHA PMI Stop?","author":"Eleanor Thorne","date":"June 23, 2013","format":false,"excerpt":"With the new FHA Streamline Refinance program - and the recent changes in the FHA PMI rates - we've had several people ask, \"When Can I Cancel and Get Rid of FHA Mortgage Insurance Premium?\"\u00a0In other words,\u00a0When Does FHA PMI Stop ? The good news is that unlike the USDA\u2026","rel":"","context":"In "FHA Mortgage Loans"","block_context":{"text":"FHA Mortgage Loans","link":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/fha\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/posts\/60","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/comments?post=60"}],"version-history":[{"count":0,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/posts\/60\/revisions"}],"wp:attachment":[{"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/media?parent=60"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/categories?post=60"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/tags?post=60"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/pfh.ysh.temporary.site\/website_d1c340c1\/wp-json\/wp\/v2\/yst_prominent_words?post=60"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}