Less than one hour after leaving the inaugural stage, Trump signed an executive order canceling a mortgage insurance reduction which had begun under Obama.
The program had provided a roughly $500 reduction for mortgage insurance costs on a $200,000 mortgage. Because of high Silicon Valley home prices, little effect is expected on the Silicon Valley real estate market.
The main effect nationwide is that some higher risk, lower income, borrowers will be priced out and more money will flow into the FHA fund. The FHA will be less likely to require tax payer assistance if mortgage defaults rise. The program will provide less help to buyers who need help the most.