FHA Mortgage Insurance Premium (UFMIP)

UFMIP stands for Up-Front Mortgage Insurance Premium. This must be paid when your loan closes, although it can be added to your loan amount.

Your FHA MIP payments are included in your monthly loan payment.

Our ability to cancel your MIP depends on several factors, including when it was originated, the amount of your down payment, your loan term, and your loan’s current loan-to-value (LTV) ratio. In addition to the information stated below, there are more requirements that are needed for MIP termination. Please contact our customer service department at 1-800-401-6587 to inquire.

If your loan was originated between January 1, 2001 – June 2, 2013 and

• if your loan term is greater than 15 years, then your monthly insurance payments will be cancelled when the LTV reaches 78%. This is calculated based on the original value of your FHA home loan and only if you have paid the annual MIP amounts for at least 5 years, or;
• if your loan term is 15 years or less, then your monthly insurance payments will be cancelled when the LTV reaches 78%. This is also calculated based on the original value of your FHA home loan.

If your loan was originated on or after June 3, 2013 and

• if your loan term is greater than 15 years and if your original down-payment was less than 10%, then MIP will be required for the life of the loan, or;
• if your loan term is greater than 15 years and if your original down-payment was more than 10%, then MIP will be cancelled after 11 years, or;
• if your loan term is 15 years or less and your original down-payment was less than 10%, then MIP will be required for the life of the loan, or;
• if your loan term is 15 years or less and your original down-payment was more than 10%, then MIP will be cancelled after 11 years.