The Federal Housing Administration (FHA), which insures more than $1 trillion worth of home mortgages, recently announced that they are looking at $16.3 billion in losses this year. While this doesn’t mean they are in immediate financial trouble, it will bring about changes for those looking to purchase Atlanta new homes.
Changes announced by the Department of Housing and Urban Development (HUD) include:
- Increasing the annual insurance premium paid by borrowers on new FHA loans in 2013. This will average to around a $13 per month increase.
- Continuing to sell expanded pools of defaulted mortgages headed towards foreclosure.
- Revising its loss mitigation program to offer more payment relief to struggling borrowers.
- Expanding the use of short sales.
- Reversing a policy to cancel premium payments after a certain period of time.
What does this mean for the average homeowner? It means that this holiday season is the best time to purchase your new home before the changes go into effect since they will ultimately increase the amount of money your property will cost you.
If you’re looking to qualify for a new home mortgage, contact the professionals at Academy Mortgage. We offer a wide variety of in house services all within a timely manner.
For more information, please visit www.AcademyMortgage.com.
Equal Housing Lender. (c)2012 Academy Mortgage License #3113. GA Lic. # 20505. This is not a commitment to lend. Academy Mortgage Atlanta: 5565 Glenridge Connector, Suite 400. Atlanta, GA 30342. Georgia Residential Mortgage Licensee.