Part of the FHA save your home segment of the bill
“Lenders would also agree to pay upfront fees to the FHA equal to 3% of a home’s appraised value. Borrowers must agree to pay an annual premium to the FHA equal to 1.5% of their new loan balance and they must also agree to share with the government any profit they realize from selling or refinancing their home.”
You think paying property taxes blows, the FHA insurance is equal to or higher than property taxes. Let me get this straight, if you are an FB, you are facing a reset, you can refi with FHA if the lender writes off 10% of the debt, pays FHA 3% and the borrower get to double their property taxes in effect, forever. Quick, get in line, this thing is going to be bigger than the iphone line.
someone tell me where I read it wrong, lets say typical S.D. FB, 500k mortgage on 400k value home, paying 2k on a teaser rate on 100k salary. New P&I is 3150 at 6.5, out the door is 4k, they arent making it.
FHA to the rescue:
New bill is 90% of debt thanks to goodness of lenders heart. 450k debt. But FHA is a higher rate usually so $2990 P&I, taxes on 400k reworked is 400-600 mo and the new fha insurance premium is 600 mo., total payment…….4k, hey, thanks for “saving” people. Now house goes into foreclosure but on fha’s dime, not countryfried’s.
Oh, Yeah, if yo make it through the downturn and realize a profit, they want half for helping you. If the mafia did this they would be jailed. What part of this will make people stay in their homes?
