Tag Archives: FHA Looks to Raise Mortgage Fees to Avoid Bailout

The Federal Housing Administration plans to raise its mortgage fees next year in order to help avoid a taxpayer bailout, the Obama administration announced. A report last week revealed the FHA, which insures mortgages, faces a $16.3 billion deficit due to a rise in mortgage delinquencies over the last few years, particularly among loans that originated during the housing bubble from 2007 through 2009. FHA says it plans to raise its premiums on loans it guarantees by 10 basis points, which equates to about $13 per month extra to borrowers’ […]