What is the average rate for FHA insurance and should it be paid upfront?

FHA should only be considered if you have no other options available to you.. FHA charges 1.75% upfront AND 1.35% annually for the life of the loan.. If your credit is sufficient to go with conventional financing, then there is no upfront charge and the monthly MI is less at 1.15% annually with 3% down payment or .67% annually with 5% down payment.. If you have VA benefits available to you, you can financing 100%, and no monthly MI, but you might have to pay a funding fee of up to 2% depending on eligibility... .. 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

FHA mortgage insurance is always paid upfront and monthly. Upfront is currently at 1.75% and 1.25 - 1.35% or so for monthly rates... The mortgage insurance will never drop off until you refinance into a conventional or bank owned portfolio loan.

Hi there Sanford...the amount is 1.75% of the base loan amount, and it is referred to as the up front mortgage insurance premium or UFMIP. It can be, and typically is, financed into the loan. I hope that helps! Feel free to reach out with any further questions, I do a LOT of FHA financing!Maureen MartinMaureen@MyLifeLender.com619-857-7191

FHA loans have both a one-time and monthly fee related to Mortgage Insurance. In general, there is an Up Front Mortgage Insurance Premium of 1.75% of the loan amount. This fee is usually financed by most home buyers but it can be paid by either the buyer or seller (in the form of seller credits) in its entirety. Then there is a monthly mortgage insurance fee. If you finance over 95%, then the rate is 1.35% of the amount financed. That amount would be divided by 12 to arrive at the monthly fee. For example, a $100,000 loan balance would result in MI premium of $1350/12 or $112.50/month. If you finance less than 95%, the rate is only 1.30% of the amount financed. If you have any additional questions, you can reach me at 877-736-6367.

Always the same now, 1.75% upfront (which you add to your original loan balance), and 1.35% annual interest, or 0.01125% paid monthly as part of your monthly payment.

Like the others have stated you pay the upfront and the monthly for life now. If you can go Conventional I highly recommend it and if you are doing a purchase and have a 680 fico then you could get a conventional loan with only 3% down, instead of FHA's 3.5%, and then the Mortgage Insurance will be much less than FHA.

FHA is always 1.75% upfront.

1.75% as always. We are located near you as well. In Newport Beach, CA next to John Wayne Airport and welcome visitors any-day of the week. We look forward to meeting with you and possibly earning your business. Look us up on trustlink.org and see our reviews.