MIP to become permanent on June 3 - How will this affect you?

This new announcement will have a major impact to the cost of obtaining an FHA loan, and not just until you hit 78% Loan to Value.  This is forever!   Unless you act before June 3.  Mortgage Insurance Protection (MIP) will be collected for the entire duration of the loan, even if you only owe $2,000 and it's worth $1,000,000.  I know,  I know, your thinking,  I'll just refinance, right.  But what kind of interest rate might be available when you go to refinance.  Refinancing out of your existing loan to get rid of your MI would require that you have an interest rate significantly lower than that on your existing loan.   So how can you avoid this you ask?  The answer is simple.  If there's a move in your future the time is now to plan and act.  June isn't that far away and you've got just 3 months to avoid this costly change!