Even before the stands for 45th Presidential Inauguration is torn down and stored for another four years, President Trump used his first hour as president to revoke the reduction of FHA insurance premium. A symbolic political snubbing of his nose to former President Obama’s very last executive acts that would have taken affect on January 27, 2017.
On January 27, 2017 FHA insurance premium rate would have gone from .85 to .60 percentage point. Like all loans, whether for a mortgage or car, interest rates can determine how much money you can afford to borrow. However, when buying a home, the insurance premium rate is often overlooked. Creating a fatal attraction for President Trump’s first baby step into presidency.
While interest rate insurance premiums for homeowners may be the ignored red head step child of the interest rate family, it should not be overlooked. Former President Obama seeing interest rates climbing, attempted to monopolize on this overall ignorance of insurance premiums when reducing the interest rate. This would have saved home owners $39 dollars a month or $500 for the entire year for low-income home owners. But lets be honest, it would have worked if we hadn’t elected a real estate mongol. It was pure bad luck for former President Obama.
But hey, who really needs an extra $500 a year. Well I only know one man who clearly doesn’t and he is staying in home where there is no insurance premiums.