Barclays: FHA Mortgage Insurance Premiums Likely Cut, Again
HousingWire, Nov. 17, 2015–Lane, Ben
While some industry observers are saying now is not the time for the Federal Housing Administration to cut its mortgage insurance premiums again despite FHA saying Monday that it reached its mandated capital reserve threshold, a new report from Barclays suggests that the FHA’s latest actuarial report actually increases the likelihood of a further cut to the FHA’s premiums. David Stevens, CMB, president and CEO of the Mortgage Bankers Association, said now isn’t the time for another rate cut, saying it would be better to wait until the MMI Fund builds up even more capital.
