Administration: Buyers Will Save Money On Mortgage Payments Through Premium Reduction
By KIMBERLEY HAAS
The Biden administration has announced a reduction on mortgage insurance premiums in a move they say could benefit an estimated 850,000 borrowers over the coming year.
New borrowers who take out loans insured by the Federal Housing Administration will see the effects of the reduced premiums, according to a press release.
The premiums will be reduced from 0.85% to 0.55% for most homebuyers, which could mean an estimated savings of $678 million for American families by the end of 2023, according to officials.
Vice President Kamala Harris and Department of Housing and Urban Development Secretary Marcia Fudge made the announcement in Bowie, Md., on Wednesday.
White House officials said the average homebuyer in Prince George’s County –…