homebuyers ask FHA if they can stop paying FHA monthly mortgage insurance premiums
with their mortgages.
insures mortgages so that lenders will be encouraged to make more mortgages available
for people. The FHA mortgage insurance agreement is between FHA and the mortgage
company, so you must contact your mortgage company and ask them what they require
to drop the insurance. Most mortgage companies will want you to have a substantial
amount of equity in your home.
new mortgages insured as of January 2001, HUD/FHA has clarified
the requirements for removing insurance premiums for some types
of mortgages. You may read Mortgagee Letters 2000-38 and 2000-46 (with Attachment) for specific information. Then, contact your mortgage company. HUD cannot remove the insurance
premiums for you.