Be prepared first time home buyers… The cost of an FHA loan will probably go up in 2013 in order to make up for a $16.3 billion deficit currently being run by FHA.
Premiums will go up 10 basis points meaning about $13 per month more that buyers will have to pay on their loan. Over 30 years that’s almost $5,000 out of pocket.
Even more troubling is the Reuters’ article stating that 9 of every 10 mortgages is held or insured by Fannie, Freddie, or HUD (FHA). As we’ve seen, if they start losing money tax payers will have to foot the bill.
For more information on buying or selling in Reno and Sparks contact Broker Ricky Beach at (775) 750-1437 or Ricky@Resnv.com