USDA Rural Housing Loans Increasing Monthly Mortgage Insurance October 1, 2014
USDA Rural Housing Loans will be increasing the monthly mortgage insurance premium that is charged beginning on Guarantee Commitments assigned on or after October 1, 2014, as announced by Rural Development. The monthly premium charged is currently based on an annual premium of 0.4% of the principal balance of the outstanding loan. The annual premium is increasing to 0.5% effective with commitments issued on or after October 1, 2014. It doesn’t matter if the loan application or the sales contract was dated prior to October 1, 2014.