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Mortgage Insurance – Who needs it?

Mortgage Insurance MI

Who needs Mortgage Insurance?

If you’re buying a house with less than 20% down payment, the answer is YOU.

Mortgage Insurance is often abbreviated in the industry as “MI”.

Some conforming home loans with less than 20% down do offer “No MI” or Lender-Paid MI. That option can be advantageous if you only plan to be in the home before the MI would have a chance to be removed.

Mortgage Insurance is utilized with low down payment mortgage options, and the rate varies by the type of loan program. The most common in 2021 are:

While not technically MI, VA Home Loans and USDA Loans do have similar fee structures under another name:

MI appears under many names in the financing industry: