FAQ
FHA MIP (Mortgage Insurance Premium): Cost, Duration, and How to Remove It
FHA MIP (Mortgage Insurance Premium) has two components: an upfront MIP (UFMIP) of 1.75% paid at closing, and an annual MIP paid monthly as part of your payment.
Details
The Full Answer
- Upfront MIP: 1.75% of loan amount (can be rolled into loan)
- Annual MIP: 0.55% for 30-year loans with under 10% down (as of 2025 — verify current rates)
- Duration: for most FHA loans with under 10% down, MIP lasts for the life of the loan
- To remove: refinance to conventional once 20% equity is reached
CTC's Role
How CTC Processing Handles This
CTC Processing calculates FHA MIP correctly on every FHA file. The annual MIP rate changed in March 2023 — any file using pre-2023 MIP calculations may have errors. CTC verifies current FHA MIP rates at HUD.gov on every FHA file.
Have more questions?
CTC Processing works with Colorado loan officers. Call 970-222-2615 or email ctcprocessingllc@gmail.com.
NMLS #2344211 · #2287435