FHA Loan limits and rates

[ShanetheMortgageMan]

UFMIP is 1% of the base loan amount. So if you are financing $300k then it's $3k, etc. That amount can either be paid out of pocket or financed into the loan, can't be split up though. If you are taking a term longer than 15-years, then your annual mortgage insurance is 1.15% of the base loan amount, or on a $300k loan amount that is $3,450/year, divided by 12 months = $287.50/mo. You can use these calculations for any purchase price when using FHA financing with less than 5% down and terms greater than 15-years. I'd estimate $7-8k for settlement costs. Are you working with a loan officer? They should help you go over these figures.

[CS800]

Thanks for the info Shane. I'm not currently looking for a loan, I wanted to get an overview of the costs. My mid score is
616, so I'm far from a good rate.

[ShanetheMortgageMan]

Welcome, well just gotta work a little bit longer and you'll be there. It's also good to have 2 times the proposed payment in reserves when you are qualifying as well, in case you need compensating factors to help offset any negative credit/higher debt ratio, etc.