Mortgage Loans

[smiths38]

I'm looking to apply for an FHA loan in the very near future.Do lenders require that homeowners insurance and property taxes be included with the mortgage payments?If not,is it usually  inexpensive to take the homeowners insurance offered by the lender?

[slappymancuso]

I think all lenders will let you choose your own insurance provider.  Many require that these be bundled into your payment simply to ensure that you actually maintain them.  You wouldn't be able to maintain the property without keeping insurance and property taxes up to date.  It's much like a bank requiring you to maintain insurance on a car while you're making payments.

[JonRun]

I got quotes from other places but the quote I got from my lender's preferred insurance company was much cheaper than the ones I got.

[Vwaller72]

I had the same experience as JonRun. The builder/lenders preferred insurance company was more than $60 a month cheaper than any other option I could find. 

[MovingForward_2012]

My homeowner's insurance is $48 per month, $543 a year. The builder's lender informed me of their homeowner's insurance company that only insures new construction homes and that they were usually the cheapest. I got a quote from my company that insures the cars and they gave me a quote of $133 per month. I said no thanks to that. I have everything escrowed minus the HOA dues.

[MovingForward_2012]

And my loan is FHA.

[smiths38]

Ok,thanks everyone!

[BCullum]

My lenders insurance recommendation beat all the quotes I got by at least 200 a year.