The Federal Housing Administration would be able to charge risk-based premiums based on a borrower's credit score and downpayment under a proposed rule the Department of Housing and Urban Development will publish soon in the Federal Register.The FHA mortgage insurance program currently charges a 150-basis-point upfront premium and a 50-bp annual premium for most borrowers. Under the proposal, which is being issued for a 30-day comment period, the FHA can charge a maximum upfront premium of 2.25% and a 55-bp annual premium for loans with only 3% down. With these limits, the FHA could provide mortgage insurance for borrowers with credit scores above 499. Discounted premiums would be available for first-time homebuyers who complete pre-purchase homeownership counseling. Creditworthy borrowers with credit scores above 679 and 10% down would pay only a 75-bp upfront premium and a 50-bp annual premium. HUD plans to establish this RBP system if Congress does not pass an FHA bill by Jan. 1.
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The lender recorded a $59 million net loss in the fourth quarter, an 83% improvement from its third quarter performance.
March 28 -
Initial analyses of Home Mortgage Disclosure Act data show UWM ahead in 2023 loan numbers and dollar volume, but Rocket's market share still looks competitive.
March 28 -
Last year, the Raleigh, N.C.-based Integrated called off a deal to sell itself to MVB Financial after bank stocks took a hit in the aftermath of the regional bank failures. Capital hopes to expand its government-guaranteed lending with the transaction.
March 28 -
The pending end of the program comes as over half of U.S. states have already ceased accepting new applicants for federal aid aimed to help struggling households with mortgage payments.
March 28 -
But the 30-year fixed rate mortgage is still near 7%, and that remains the overhang on the housing market, Freddie Mac said.
March 28 -
Mortgage payments rose 10% year-over-year to an all-time high for March, Redfin said.
March 28