HUD Issues Mortgagee Letter 2015-01 Revising the MIP

Effective with case numbers assigned on or after January 26, 2015, the FHA Annual MIP premium factor for all Title II forward mortgages has been reduced by 50 bps (0.5%).

Term > 15 Years
Base Loan Amt. LTV Previous MIP New MIP

≤ $625,500 ≤ 95.00% 130 bps 80 bps
≤ $625,500 > 95.00% 135 bps 85 bps
> $625,500 ≤ 95.00% 150 bps 100 bps
> $625,500 > 95.00% 155 bps 105 bps

Term ≤ 15 Years (REMAINS THE SAME)

To allow current mortgages in progress to obtain the reduced pricing, HUD will temporarily allow for the cancellation of current case numbers in order to secure new case numbers associated with the cheaper pricing.

For more information, you may access HUD Mortgagee Letter 2015-01 HERE!

HUD Issues Mortgagee Letter 2015-01 Revising the MIP