What is FHA mortgage insurance?

Answer The FHA, or Federal Housing Administration, backs mortgages for individuals who can only afford a small down payment. However, the FHA requires borrowers to pay for mortgage insurance.PurposeThe FH... Read More »

Top Q&A For: What is FHA mortgage insurance

Can a Bank Require Mortgage Insurance on a VA Mortgage?

Private mortgage insurance is a type of insurance product that most homeowners are forced to purchase in order to protect their lender. This insurance coverage is required in case the borrower goes... Read More »

What is mortgage insurance?

Mortgage insurance pays out a monetary disbursement to a mortgage lender in the event a borrower defaults on her mortgage. This decreases the total amount of money a lender is liable for when a mor... Read More »

What is MIP for mortgage insurance?

Mortgage insurance premium (MIP) is a cost imposed on by the Federal Housing Administration on loans it backs. Mortgage insurance premiums function similarly to private mortgage insurance on conven... Read More »

Why do you need mortgage insurance?

Banks and mortgage companies take risks when lending money to home buyers. To protect themselves from losing money if the borrowers do not make mortgage payments, some mortgage companies require bo... Read More »