FHA annual mortgage insurance premium to increase in April.

HUD announced today that it will increase the annual mortgage insurance premium by 0.25% on all 30 yr and 15 yr loans. The upfront MIP will remain unchanged at 1.0 percent. The new annual premium will be effective for all loans with case numbers on or after April 18, 2011. Below are examples and the impact of the change. The end result is an increase in overall payment for the borrower.

The full mortgagee letter pertaining to the increase can be found on HUD's website: FHA Mortgagee Letter 11-10.