Why do I need private mortgage insurance?

Answer Private mortgage insurance, or PMI, allows you to purchase a home with a smaller down payment because lenders are protected against you defaulting. Without PMI, most lenders require a 20 percent do... Read More »

Top Q&A For: Why do I need private mortgage insurance

How much is private mortgage insurance?

The private mortgage insurance rate charged per month is based on several factors, including your credit score, the amount of your loan and the location of the property. However, it is typically .5... Read More »

Why is private mortgage insurance important?

Private mortgage insurance, PMI for short, is a cost lenders add to a mortgage when the borrower cannot put down at least 20 percent of the home's value. PMI makes it easier for people to transitio... Read More »

How to Understand Private Mortgage Insurance?

Home buyers are required to pay private mortgage insurance (PMI) to their lender when the down payment amount is less than 80 percent of the home's value. The idea behind PMI is home buyers who hav... Read More »

How Much Does Private Mortgage Insurance Cost?

Mortgage companies assume a risk with each loan funded to borrowers. If the borrowers fail to repay the mortgage loan, the lender takes a loss. To protect against such losses, lenders ask that borr... Read More »