Buyer News:  The FHA has increased the MIP (mortgage insurance premium) on FHA loans.  The upfront MIP is going from 1.0% to 1.75%.  The monthly amount will increase 1.1% to 1.25%.  This is effective April 1, 2012, so buyers must be in-contract prior to then to receive the current rates.

This will effect what buyers can afford slightly.  For example, on a $100k loan the upfront MIP will go from $1000 to $1750 and the monthly increase will be $14/month.  It doesn't make a huge difference on a $100k loan but as you get up in price, it does.

Learn more about the MIP increase, other FHA news and related articles, here.