Loan costs

How much is FHA mortgage insurance, and how long does it last?

FHA mortgage insurance can include an upfront mortgage insurance premium and an annual premium collected through periodic payments. The amount is not one universal quote: it depends on the transaction, base loan amount, applicable premium schedule, loan term, loan-to-value details, and case-specific rules.

Costs to compare

• Whether the upfront premium is paid in cash or financed into the loan balance.
• The periodic premium included in the proposed monthly payment.
• The complete cash-to-close and monthly-payment figures using the same assumptions.
• How long periodic mortgage insurance is scheduled under the rules for the specific FHA case.

Why duration matters

Current rules may not apply to every older FHA mortgage. Expected time in the home or loan can affect how a borrower evaluates the cost, but a future refinance, sale, rate, or property value cannot be promised. Use transaction disclosures for actual figures and ask the lender or servicer which case rules apply.

Review HUD’s current Single Family Mortgage Insurance Premiums, the upfront premium information, and FHA Handbook 4000.1.

Related: FHA versus conventional financing and gift funds and cash to close.

General education only. This is not a rate quote, loan offer, approval, or commitment to lend.