National Association of Homebuilders (NAHB) chairman Kevin Kelly released a statement on Thursday applauding President Barack Obama and the FHA for lowering annual mortgage insurance premiums.
“NAHB commends the President for taking action to reduce FHA’s annual mortgage insurance premiums by 50 basis points to 0.85 percent,” Kelly said. “Lower premiums will make home loans more affordable for qualified borrowers, particularly first-time buyers, and help to alleviate tight credit conditions in the mortgage market. This prudent course reflects a recent actuarial report that FHA is back in black and strengthening its financial health. The new premium structure will allow FHA to continue building its reserves.”
Image via Getty Images – Chip Somodevilla