In an effort to expand homeownership among lower-income buyers, the Obama Administration has announced it will use executive action to reduce mortgage insurance premiums by 50 basis points, from 1.35% to 0.85%, on loans from the Federal Housing Administration. The reduction is expected to help support the housing market’s recovery while partly offsetting FHA fees that have risen since the financial crisis. The FHA estimates two million borrowers who purchase or refinance homes will save an average of $900 a year over the next three years.