Thank goodness for rising equity. That’s what many FHA borrowers are saying these days. Roughly twenty percent of mortgages are FHA loans (as of Sept 2016) and last year approximately eight percent of refinances were from FHA to conventional loans, or about 20,000 per month. Given the increase in home prices and the proportion of existing FHA loans, CoreLogic estimates 250,000 homeowners could refinance to conventional loans during 2017 because they will have reached at least 20% equity so they can refinance to eliminate the extra insurance they have to carry.
Read more about how the analysis behind this conclusion over on their website where they go in to much greater detail about how they determined these numbers.