When you finance the purchase of a home, in most cases, you will either have to make a sizable down payment or take out a private mortgage insurance policy (PMI). The choice is cut and dried for most borrowers. But in some cases, if you want to have the most refined control over your costs, […]
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But Leave It Behind At The First Opportunity If you thought that borrowers have to put a twenty percent down payment on a home to conventional home loans, you would be pleasantly surprised to find that this is not the case in fact. Borrowers can purchase insurance on conventional loans. The innovation of private mortgage […]
Do You Need Private Mortgage Insurance? Good practice in real estate lending and homeownership suggests that the homeowner ought to have at least a 20% equity stake in their home. That is all well and good but it would put ownership out of the reach of most people in the country. As a nation we tend to […]
Private mortgage insurance is usually required when you take a mortgage loan. In fact it is generally included in your mortgage payment and placed in an escrow account along with any tax liability. This protects the lender against any inability on your part to pay the full annual lump sum when it is due. Must […]
Private mortgage insurance (PMI) is a form of protection for mortgage lenders in the event of borrowers defaulting on their payments. If a borrow takes a mortgage that is more than 80% of the purchase price of their home, then they must also purchase mortgage insurance to protect the lender. In other words, you need […]