Because the FHA is losing money on record foreclosures (their minimum reserves should be above 2% but were at 0.53% in November), they announced this week that they’re increasing the upfront premium from 1.75% to 2.25%. There has also been political pressure to increase the down payment (currently at 3.5%) to 5%, but as of now it’s still at the 3.5% level. FICO credit score minimums have been raised to 580 (lower FICOs will require a higher down payment). For complete details, here’s the HUD Mortgagee letter.