In Case You Missed It: Biden-Harris Administration to Save Some New Homebuyers $800 Each Year on Average on Mortgage Payments

HUD No. 23-043
HUD Public Affairs
(202) 708-0685

FOR RELEASE
Friday
February 24, 2023

In Case You Missed It: Biden-Harris Administration to Save Some New Homebuyers $800 Each Year on Average on Mortgage Payments

WASHINGTON - On Wednesday, February 22, 2023, Marcia Fudge, the 18th Secretary of the U.S. Department of Housing and Urban Development (HUD), and Kamala D. Harris, the Vice President of the United States, announced that HUD reduced the annual mortgage insurance premiums (annual MIP) for people with new FHA mortgages. The action is expected to benefit an estimated 850,000 borrowers over the coming year and will save these families an average of $800 annually.

See below for highlights from news clips, coverage of the event yesterday at Bowie State University, and the response from national leaders and local stakeholders alike:

News Clips

MSNBC: Biden WH announces plan to save homebuyers and owners money

[Secretary of Housing and Urban Development, Marcia Fudge, joins Morning Joe to discuss a new Biden-Harris plan to save eligible homeowners and home buyers money]

Secretary of Housing and Urban Development, Marcia Fudge, joins Morning Joe to
discuss a new Biden-Harris plan to save eligible homeowners and home buyers money.

The Wall Street Journal: Biden Administration to Cut Mortgage Insurance Costs for Lower-Income Buyers

WASHINGTON—The Biden administration will trim costs under a mortgage program for first-time and lower-income buyers, a bid to boost affordability while median home prices remain near record highs, the White House said Wednesday.

Bloomberg: US to Cut Mortgage Insurance Costs for Some New Homeowners

People buying their first home can be eligible to receive some relief from mortgage insurance costs under a program that the Biden administration will unveil on Wednesday.

Borrowers with mortgages insured by the Federal Housing Administration will see their fees cut by about $800 a year, or a 0.3 percentage point, according to a White House fact sheet.

Politico Pro: White House moves to slash mortgage costs for low-income buyers

The Biden administration on Wednesday moved to cut the cost of mortgages for low-income and minority borrowers, in a victory for lenders and housing advocates at a time of instability in the market.

The Federal Housing Administration will slash 30 basis points off its annual mortgage insurance premium, reducing the fee it charges homebuyers from 0.85 percent to 0.55 percent for most new borrowers. The reduction will save the average homebuyer with an FHA-insured loan about $800 a year, according to the White House.

The Grio: Vice President Harris joins HUD to announce new cost-saving action for homebuyers

On behalf of HUD Secretary Marcia Fudge, Harris delivered remarks at Bowie State University in Maryland highlighting the new action that the agency says will save an average of $800 in 2023 alone for an estimated 850,000 homebuyers and homeowners.

The announcement was also featured in a variety of digital, print, and broadcast publications:

Social Media

Outside of news outlets, a variety of national leaders, organizations, and stakeholders praised, welcomed, and amplified this announcement:

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