Insurance paid for by the borrower that protects the lender in case of default. It's generally only required for a property with less than 80% LTV.
The lender may take out mortgage insurance on your loan to protect themselves in the case that you were to default on your loan. Usually, mortgage insurance is taken out on properties with a loan-to-value ratio of 80 percent or more.
Insurance provided that protects a lender against a loss in the event of a foreclosure and deficiency.
Insurance that protects a lender if a borrower fails to pay a mortgage note.
Insurance taken out by the lender to protect them from a borrower defaulting. Generally if a person is borrowing greater than 80% of the property value, the lender makes the borrower pay for the lenders cover.
A life policy covering a mortgagor from which the benefits are intended to pay off the balance due on a mortgage upon the death of the insured. The best way to accomplish this is through level term life insurance. InstantQuote provides the best rates in the country.
Insurance available through C. M. H. C. or private insurers covering whole or partial losses of principal and interest of a mortgage loan.
Insurance taken out by the lender to cover them in the event the borrower defaults on their loan and the sale of the property is inadequate to cover the debt and subsequent associated costs. Mortgage Insurance is usually payable for high-risk loans, whereby more than 80% is being borrowed against the value of the property.
See either: life insurance:- personal insurance to cover the outstanding balance of the mortgage, house insurance:- to cover the value of your property, or high ratio mortgage insurance:- borrowing more than 75% of the value of the property. alphabetical index | | site plan
Insurance to protect the lender in case you default on your loan. Also called private mortgage insurance. (PMI)
Insurance which protects the LENDER against default. Generally the higher the loan-to-value the higher the monthly premium.
Mortgage insurance is life insurance in which the total value of the death benefit decreases annually. Mortgage insurance insurance is also known as decreasing term life insurance.
insurance written by an independent mortgage insurance company protecting the mortgage lender from default losses usually on loans with less than 20% down payment.
When downpayments are less than 20%, a mortgage insurance policy gives the lender insurance against default by the borrower. The borrower pays a monthly premium for the coverage. For instance, although an insured conventional loan allows as little as 3% down, the monthly mortgage payment will increase to include a premium for mortgage insurance. The mortgage insurance usually must remain in effect until you have 20-22% equity in the property, either by paying down the loan or increased property value.
Insurance purchased by the buyer that covers the lender against losses incurred as a result of a default on a home loan. This is generally required on all loans that have a loan-to-value higher than 80%. Also, FHA loans and some first-time buyer programs still require mortgage insurance regardless of the LTV. When you have accumulated 20% of your home's value as equity, you can ask your lender to waive the PMI.
Insurance for the lender in the event that the borrower defaults on the loan. The cost for mortgage insurance is usually built into the monthly payment made to the lender, and is typically required when the loan has an LTV of 80% or greater (when the down payment is less than 20% of the home's value). This can also be called private mortgage insurance for conventional loans, because a private institution rather than the federal government backs them.
Insurance purchased by the buyer to protect the lender in the event of default. Typically purchased for loans with less than 20 percent down payment. The cost of mortgage insurance is usually added to the monthly payment. Mortgage insurance is maintained on conventional loans until the outstanding amount of the loan is less than 80 percent of the value of the house or for a set period of time (7 years is common). Mortgage insurance also is available through a government agency, such as the Federal Housing Administration (FHA) or through companies ( Private Mortgage Insurance or PMI).
Insurance protecting the mortgage lender against financial loss due to a mortgage default.
Protect the lender against loss if the borrower is unable to repay the mortgage. Only applies to High ratio mortgages.
This insurance is required if your downpayment is less than 20 percent. This is usually a monthly fee included in your mortgage payment. This insurance protects the lender should you default on house payments.
A type of insurance changed by most lenders to offset the risk of your loan when your down payment is less than 20% of the value of the home.
An insurance payment made by the borrower in the monthly mortgage payment to the financial institution if the loan is over 80% value of the purchase price of the house. This Insurance guarantees the lender that in the event of a loan default the lender will be able to recoup any money above the 80% loan to value (LTV)
An insurance plan that protects the lender if the borrower does not repay a loan. Mortgage insurance is required when a home buyer makes less than a 20% down payment at the time of purchase. Private mortgage insurance (PMI) covers conventional (fixed-year, fixed-rate) loans. The Federal Housing Administration charges a mortgage insurance premium (MIP) on FHA loans.
Insurance purchased by the buyer to protect the lender in the event of default. Mortgage insurance is usually required on loans with less than 20 percent down payment. The cost of mortgage insurance is usually rolled into the monthly mortgage payment. When mortgage insurance is obtained through a private company (not from the federal government), it's also known as Private Mortgage Insurance or PMI.
A type of insurance policy that protects the mortgage lender from loss in the event the borrower defaults on the loan; typically required by lenders when the down payment is less than 20 percent.
Insurance that protects lenders against loss if the borrower does not repay the loan.
The function of mortgage insurance (whether government or private) is to insure a mortgage lender against loss caused by a mortgagor's default. This insurance may cover a percentage of or virtually all of the mortgage loan depending on the type of mortgage insurance.
Insurance required by non-government insurers on loans where the borrower puts less than 20% down. This insurance protects lenders against loss if a borrower defaults.
A type of insurance coverage that a borrower may be required to purchase (generally if the down payment is less than 20 percent of the purchase price of the home) to protect the lender in the event the borrower fails to make timely mortgage payments or defaults on the mortgage. Whether or not a borrower is required to purchase PMI depends on the type of mortgage the borrower obtains from a lender.
A basic use for life insurance, so-called because many family heads purchase insurance for specifically paying off any mortgage balance outstanding at their death. The insurance generally is made payable to a family beneficiary instead of to the mortgage holder.
Premium The payment made buy the borrower to the lender to help defray the cost of the FHA mortgage Insurance program and to provide a reserve fund to protect lenders against loss in insured mortgages.
Decreasing Term is a product that provides level premiums with a decreasing death benefit. Traditionally, banks market this product for mortgage protection. This is a huge income for the banks and terrible for the consumer. Here is why! Let's say I need $250,000 of death benefit coverage and the premium is $45.00 per month for a period of 30 years. Year 2 passes...I'm still paying my $45.00 per month but the death benefit has decreased to $235,000. This will continue for the next 30 years.
Additional insurance charged directly by the lender (conforming only) for any loan amount above 80% Loan to Value. This is due to the added risk factors for the lender.
Insurance written to protect the mortgage lender against loss due to default, thus enabling the lender to lend a higher percentage of the sales price.
or MI - is insurance that protects a mortgage lender against loss in the event of default by the borrower. This insurance allows lenders to make loans with lower down payments (LTVs above 80%, in most cases). of Page || Bottom of Page
A type of insurance that protect a lender against loss if a borrower defaults and fails to make timely payments on their mortgage.
A guarantee offered by an mortgage insurance company made to the lender on loans that are over 90%.
Insurance that protects a lender from damages of a lender defaulting on a loan.
In the event that the loan you are requesting from the lender exceeds 80% of the market value of the property being mortgaged, the lender will generally require you to pay for obtaining a mortgage insurance policy. This protects the lender if you default on your loan and the equity in the property is not sufficient to cover any losses the lender incurs as a result of that default. Depending on the amount by which the "loan to value ratio" exceeds 80%, the first year's premium generally ranges from .35% of the loan amount to 1% of the loan amount. The first year's premium, which is generally higher than subsequent premium amounts, is sometimes paid at time of closing.
Insurance which protects the lender against loss which could result from mortgage default.
Premium (MIP): The mortgage insurance required on FHA loans for the life of said loans; MIP can either be paid in cash at closing or financed in its entirety in the loan. The premium varies depending on the method of payment.
special insurance that protects the lender in case of borrower default. It's typically required when the borrower makes less than 20% down payment.
used by lenders to cover themselves against borrowers defaulting on their mortgage, then being unable to recover the debt by selling the property.
The insurance that a mortgage lender takes out to protect against the possibility of a borrower defaulting on a loan.
Insurance required by lenders to help pay off a loan in the event of foreclosure.
If you are borrowing more than 80% of the property value the bank/lender will most likely request that mortgage insurance is taken out. It is important to note that this form of insurance protects the lender and not you, the borrower.
An insurance policy that insures a lender against loss if a borrower defaults on his or her mortgage payments.
This insurance protects the investor from possible loss if the borrower defaults on the loan.
This is a title insurance policy that protects the mortgage lender from default relating to the title. Mortgage insurance is usually required by banks issuing mortgages. It provides no protection for the actual property owner, though, which distinguishes it from fee insurance.
For the individual who does not have the minimum down payment required at the time of purchase to purchase a home. (25% of the purchase price or the market value of the property) The mortgage load can be up to 100% of the purchase price of the property.
A contract that protects the lender against loss resulting from the mortgagor's default on a mortgage. On most loans that have a Loan-to-Value ratio above 80%, the borrower is required to purchase mortgage insurance.
Mortgage insurance is an insurance policy on your mortgage. In the event that something happens to you or your spouse, your mortgage loan will be paid off. You may obtain an insurance policy from the mortgage lender, or you may obtain a policy from a third-party.
Guaranty insurance that protects conventional lenders from losses on a portion of a particular loan. Also known as MI, PMI or Private Mortgage Insurance.
Mortgage insurance enables an individual who does not have the minimum downpayment required to purchase a home (25% of the purchase price or the market value of the property) to obtain a mortgage loan of up to 100% of the purchase price of the property.
While any type of insurance can be used, decreasing term insurance is generally the desired policy. The premiums usually remain the same, but the amount of insurance coverage decreases along with the balance on the mortgage. p 152
Insurance purchased to protect the lender against loss from the borrower being unable to make payments on the mortgage loan
Insurance which protects the lender against the possibility that the borrower defaults and the property is foreclosed upon. Typically, mortgage insurance is not required if the borrower pays at least twenty percent of the loan at settlement. If one has mortgage insurance at the beginning of a loan, the mortgage insurance will continue until the borrower has 20% equity in the property.
A life, credit life, or disability insurance policy designed to pay off the balance due or make the monthly payments on a mortgage, if the insured should be injured, become ill, or die.
Mortgage insurance, commonly called “Private Mortgage Insurance†(PMI), protects the lender from loss if you stop making payments. All lenders require this, however, you may not have to pay mortgage insurance if your down payment is more than 20% of the appraised value of your home. Check with your lender to see how your mortgage insurance can be waived.
A type of insurance taken out by lenders and paid for by borrowers, which covers any losses the lender may incur if the borrower defaults.
Taken out by the lender in the event the borrower defaults on the loan/sale of property i.e cannot cover outstanding amount required. Mortgage insurance premiums are payable by the borrower generally when the amount borrowed is over 80% of the property value (LVR 80) but it could be applied for lower loan to valuation ratios
Home or property insurance available through Canada Mortgage and Housing Corporation (or private insurers) for coverage against the whole or partial losses of, principal and interest on a mortgage loan.
Protects the lender against borrower’s default on a loan. Also known as private mortgage insurance or PMI.
Insurance that protects the lender against a financial loss due to a default by the borrower . Loans with an LTV over 80% usually require mortgage insurance.
With this insurance solution you enjoy the flexibility to change mortgage company without the hassle of re-qualifying medically. This solution will also allow your family the option to pay off the mortgage or take the tax-free proceeds.
Insurance which protects a lender in the event a borrower defaults. Mortgage insurance (also known as MI or private mortgage insurance) does not repay the mortgage loan in the event of the borrower's death. It is usually required on conventional loans with down payments of less that 20% and occasionally on loans which do not completely meet applicable underwriting criteria. Costs for this coverage are generally paid by the borrower along with their monthly mortgage payment.
Insurance purchased by the borrower to insure the lender or the government against loss should the borrower default. A common misconception is that such insurance pays off the loan in the case of death.
Insurance that protects the lender in case the homebuyer does not make their mortgage payments. Typically, a borrower would be required to pay a fee for mortgage insurance if their down payment is less than 20%. (Also known as private mortgage insurance or PMI)
A premium homeowners pay on loans to protect the lender against default.
This insurance is required if your down payment is less than 20 percent. You would be required to pay a fee for this insurance which protects the lender should you default on house payments.
Lenders often require private mortgage insurance (PMI) when a homebuyer obtains a loan that exceeds 80 percent of a property's value; for example, putting down 10 percent instead of 20 percent.
Insurance written by an independent mortgage insurance company protecting the mortgage lender against loss incurred by a mortgage default, thus enabling the lender to lend a higher percentage of the sale price.
Insurance that protects the lender in case of default. Insurance can be issued by private sources or by FHA. Private Mortgage Insurance is commonly called PMI. Insurance issued by FHA is referred to as MIP.
Insurance required for a loan-to-value ratio above 80.01%.
Insurance purchased by the borrower to insure the lender or government against loss should the buyer default. MIP, Mortgage Insurance Premium, is paid on government-insured loans (FHA loans) regardless of the LTV (loan-to-value). Should a government-insured loan be paid off in advance of maturity, the borrower may be entitled to a small refund of MIP. PMI, or Private Mortgage Insurance, is paid on those loans which are not government-insured and whose LTV is greater than 80%. When the buyer has accumulated 20% of a home's value as equity, the lender may waive PMI at the owners request. Please note that such insurance does not constitute a form of life insurance which pays off the loan in case of death.
Insurance paid for by the borrower that protects the lender against loss if the buyer fails to repay the mortgage loan. This was created to allow a buyer to purchase a home with less than 20% down payment. The insurance is to cover the lender if you default before you own 20% of the value of the property. If you have 20% to put down or can have the property assessed to be worth 20% more than what you paid, you will not need mortgage insurance and should be repaid for a large percent of what you have paid into this.
Lenders require this when the borrower makes a low down payment, usually an amount less than 20 percent of the purchase price. Not to be confused with mortgage life insurance which pays off the mortgage in the event the borrower dies.
Insurance which protects mortgage lenders against loss in the event of default by the borrower. This allows lenders to make loans with lower down payments. Also known as private mortgage insurance or PMI. PITI Acronym for the items included in a monthly mortgage payment: principal, interest, taxes, and insurance.
Mortgage insurance protects the lender in case the borrower defaults on the loan.
Insurance similar to FHA or VA insurance, insuring part of the first mortgage or deed of trust, and enabling a lender to make a conventional loan of a higher percentage of the property value. This type of insurance protects the upper portion of a mortgage loan thereby reducing the lender's risk to principal loss in the event of a borrower's default. The coverage allows lenders to make higher loan-to-value ratios.
Insurance which protects the lender against loss in case of default by the borrower. The federal government offers MI through HUD/FHA; private entities offer MI for conventional loans.
Insurance that may be required when a loan is greater than 80% of the value of the home. This insurance protects the lender in the event a borrower fails to make his or her loan payments. The borrower ordinarily pays the cost of MI or PMI, in the form of monthly premiums added to the mortgage payments.
Insurance a buyer purchases that protects the lender from buyer default. Most lenders require MI if the mortgage exceeds 80% of the appraised value. The premium can be up to a few hundred dollars per month.
Mortgage insurance provided by nongovernment insurers that protects lenders against loss if a borrower defaults. Most lenders generally require PMI (Private Mortgage Insurance) for loans with a loan-to-value ratio of over 80 percent.
Insurance that protects lenders against losses caused by a borrower's default on a mortgage loan. MI typically is required if the borrower's down payment is less than 20% of the purchase price.
assurance offered by an insuring entity that a lender's interests in a loan will be protected in the event a borrower defaults. Two of the largest providers of mortgage insurance are the Federal Housing Administration and Veterans Administration.
Also known as 'Private Mortgage Insurance' (PMI). Insurance which protects mortgage lenders against loss in the event of default by the borrower.
(1) A basic type of life insurance or disability insurance purchased for the specific purpose of paying off any mortgage balance outstanding at death or paying mortgage payments while the insured is disabled. (2) "Private mortgage insurance" offers a method of providing minimum down payment residential mortgages by insuring mortgage lenders against losses in the event of borrower default.
Money paid to insure the mortgage when the down payment is less than twenty percent. It allows the lender to recover part of their financial losses if a borrower fails to full re-pay a loan.
Mortgage insurance protects the lender in case of default by the borrower. It is required on most loans with under 20% down payment and the cost is usually born by the borrower. When the borrower's equity in the property equals 20%, he or she may request cancellation of the mortgage insurance premium.
Also known as Private Mortgage Insurance (PMI). Money paid to insure a mortgage when the down payment is less than 20 percent. See also Private Mortgage Insurance.
A contract that insures the lender against loss caused by a mortgagor's default on a government mortgage or conventional mortgage. Mortgage insurance can be issued by a private company or by a government agency such as the Veterans Administration (VA). Depending on the type of mortgage insurance, the insurance may cover a percentage of or virtually all of the mortgage loan. See private mortgage insurance .
Insures the Lender against loss caused by the Borrower's failure to make the payments.
Insurance written by an independent mortgage insurance company protecting the mortgage lender against loss incurred by a mortgage default. Usually required for loans with an LTV of 80.01% or higher.
Applies to high-ratio mortgages. It protects the lender against loss if the borrower is unable to repay the mortgage.
Insurance required on conventional loans with less than a 20% down payment which protects the lender from possible default on the loan.
a form of insurance taken out by the lender to cover themselves in the event that the borrower defaults on their loan and the sale of the property is unable to cover the outstanding amount. Mortgage insurance premiums are usually payable by the borrower when the amount borrowed is over 80 percent of the property value and sometimes at lower loan to valuation ratios.
A policy that fulfills that obligations of a mortgage when the policy holder defaults or is no longer able to make payments.
An insurance policy that protects lenders against some or most of the losses that can occur when a borrower defaults on a mortgage loan: mortgage insurance is required primarily for borrowers with a loan amount of over 80% on a first mortgage.
A contract that insures the lender against loss caused by a mortgagor's default on a government mortgage or conventional mortgage. Mortgage insurance can be issued by a private company or by a government agency such as the Federal Housing Administration (FHA). Depending on the type of mortgage insurance, the insurance may cover a percentage of or most of the mortgage loan. This is an insurance policy you are required to get if the amount of your down payment is less than 20% of the total cost of the home.
Money paid to insure the mortgage when the down payment is less than 20 percent. See private mortgage insurance, FHA mortgage insurance.
Money paid to insure the lender against loss due to foreclosure or loan default. Mortgage insurance is required on conventional loans with less than a 20 percent down payment. FHA mortgage insurance requires a payment of 1.5 percent of the loan amount to be paid at closing, as well as an annual fee of 0.5 percent of the loan amount added to each monthly payment.
Insurance needed for mortgages with low down payments (usually less than 20% of the price of the home).
Insurance written by an independent mortgage insurance company (MIC) protecting the mortgage lender against loss incurred by a mortgage default. Page Top
Insurance paid by the borrower that protects the lender in case the borrower defaults on a loan. With conventional loans, mortgage insurance is not required if your downpayment is at least 20%. Also known as private mortgage insurance.
A kind of insurance policy that will pay off the mortgage balance in the event of death, and in some policies, disability. Premiums are paid with the regular monthly mortgage payment.
Also known as MI or PMI (for private mortgage insurance) is a policy that protects the lender by paying the costs of foreclosing on a house if the borrower stops paying the loan. It is typically paid monthly by the borrower.
A policy of insurance which promises to pay out the amount owing in the event that the borrower defaults.
Often mistakenly referred to as PMI, which is actually the name of one of the larger mortgage insurers, this is insurance that covers the lender against losses incurred as a result of a default on a home loan. Mortgage insurance is usually required in one form or another on all loans that have a loan-to-value (LTV) ratio higher than eighty percent. Mortgages above 80 percent LTV are usually a made at higher interest rates. Rather than the borrower paying the insurance premiums directly, they pay a higher interest rate to the lender, which then pays the mortgage insurance itself. FHA loans and certain first-time buyer programs require mortgage insurance regardless of LTV. The amount paid by the borrower is known as the mortgage insurance premium (MIP).
Insurance that protects mortgage lenders against loss in the event tof default by the borrower. Also, see Private Mortgage Insurance (PMI).
This insurance is taken out by the lender to cover themselves in the event that the borrower defaults on their loan and the sale of the property is unable to cover the outstanding debt. Mortgage insurance premiums are usually paid by the borrower when the amount borrowed is over 80% of the property value. There is no protection for the borrower.
Insurance that protects a lender against losses when a borrower defaults.
see Mortgage Default Insurance
A policy that insures the lender against the borrower on a loan. Most lenders generally require insurance when borrowing more than 80% of the property value.
Mortgage insurance insures the lender for loans above 80% loan to value. If for some reason the borrower defaults on the loan, the mortgage insurance company will pay the lender the amount lent above 80% LTV. The borrower pays for this insurance in small, monthly increments along with their monthly payment. If not for this insurance, wholesale companies lending money would be much more strict to whom they give loans and conventional lending as we know it would not exist.
An insurance policy that protects lenders against a mortgage borrower default; primarily required for borrowers with a down payment of less than 20% of the home's purchase price.
Insurance purchased by the borrower to insure the lender or the government against loss should you default. MIP, or Mortgage Insurance Premium, is paid on government-insured loans (FHA or VA loans) regardless of your LTV (loan-to-value). Should you pay off a government-insured loan in advance of maturity, you may be entitled to a small refund of MIP. PMI, or Private Mortgage Insurance, is paid on those loans which are not government-insured and whose LTV is greater than 80%. When you have accumulated 20% of your home's value as equity, your lender may waive PMI at your request. Please note that such insurance does not constitute a form of life insurance which pays off the loan in case of death.
A fee (up to 3.8 percent of loan amount) paid at closing or a portion of this fee added to each monthly payment of an FHA loan to insure the loan with FHA. Paid to insure the mortgage when the down payment is less than 20 percent. See Private Mortgage Insurance.
Insures the lender against non-payment of a government or conventional loan.
This is going to sound silly so please bear with me. Mortgage Insurance is a policy that lenders require if a refinance loan has a LTV between 80% - 100%, OR if you are buying a home and are placing less than 20% down. In instances like this, lenders want protection if you should fail to make your monthly payments and they have to foreclose on the property. They want an insurance policy that will protect the Bank from loss associated with foreclosing on the property. Mortgage Insurance is not Life or Homeowners Insurance. Now the funny thing with this policy is, you the borrower have to pay for it, and if there is a loss it pays the bank not you for that loss.
Insurance that protects a mortgage lender against loss in the event of default by the borrower. This insurance allows lenders to make loans with lower down payments (LTVs above 80%, in most cases). The cost is usually borne by the borrower.
Insurance that protects a mortgage lender against loss in the event of default by the borrower. This insurance allows lenders to make loans with lower down payments (loan-to-value ratios above 80 percent - that is, when a down payment is less than 20 percent of the total selling price of the property).
Life insurance that pays the balance of a mortgage if the mortgagor (insured) dies.
Insurance written by an independent mortgage insurance company protecting the mortgage lender against loss incurred by a mortgage default. It is usually required for loans with an loan-to-value (LTV) ratio greater than 80%.
A type of life insurance that provides for the coverage of the policyholder's mortgage and any interest and taxes. Read more about Mortgage Life Insurance.
Paid by you to the lender to ensure that the lender is covered if you default on your repayments.
Insurance written in connection with a mortgage loan that indemnifies the lender in the event of borrower default. In connection with conventional loan transactions, this insurance is commonly referred to as Private Mortgage Insurance (PMI).
Monies paid to insure the mortgage when the loan to value is over 80% or 75% in case of a "cash out" mortgage.
Is a form of insurance that protects the lender or investor against loss from default on a mortgage. It is usually collected as an addition to the monthly mortgage payment, although some loans require an upfront or first year premium to be paid as a lump sum. See PMI and MIP.
Insurance provided by a private company to protect the mortgage lender against losses that might be incurred if a loan defaults. Also referred to as private mortgage insurance, or PMI.
It is insurance to protect the lender in case you default on your loan. With conventional loans, mortgage insurance is generally not required if you make a down payment of at least 20% of the home's appraised value. It is also known as PMI (Private Mortgage Insurance).
Insurance required for loans with a loan above 80.01%.
A type of life insurance that pays the remainder of the policyholder's mortgage when the individual dies.
A policy that allows mortgage lenders to recover part of their financial losses if a borrower fails to full re-pay a loan. Mortgage insurance makes it possible to buy a home with as little as 5% down.
(Also known as Private Mortgage Insurance (PMI)) Insurance provided by nongovernmental insurers that protects lenders against loss if a borrower defaults. Fannie Mae generally requires private mortgage insurance for loans with loan-to-value (LTV) ratios greater than 80 percent.
Insurance that protects a lender against financial losses if a borrower were to default on their mortgage loan.
Insurance provided the lender against loss on a mortgage in the event of borrower default.
Insurance paid for by the borrower that protects the lender against loss incurred by a mortgage default, thus enabling the lender to lend a higher percentage of the sales price.
Some lenders may provide up to 95% of funds for a loan if you agree to take out mortgage insurance (MGI). This figure is a one off payment usually made at the time of settlement. The figure is not easy to calculate being based on variables such as the loan amount, the value of your property and the exact LVR (i.e. the figure between 80% & 95%). This payment allows the lender to recoup the unpaid principal in the event of default and the borrowers debt is transferred to the Mortgage Insurer.
Mortgage Insurance, or Lenders Mortgage Insurance, protects the lender against potential losses should you default on your home loan, and the proceeds from the sale of the property not cover the remaining loan amount. A lender will often require you to take out Mortgage Insurance if you wish to borrow more than 80% of the value of the property. It is usually a one off fee payable when the loan settles.
An insurance policy that insures the lender against the borrower defaulting on a loan. Mortgage insurance only protects the lender, not the home owner.
The insurance protecting a lender against loss from a mortgagor's default.
By law, any mortgage for which the down payment is less than 25%, must be insured to protect the lender.
Insurance that protects mortgage lenders against loss in the event of default by the borrower. This allows lenders to make loans with lower down payments. The federal government offers MI through HUD/FHA; private entities offer MI for conventional loans.
This insurance is often required when there is a down payment of less than 20% on a conventional (fixed rate) loan. The mortgage insurance protects the lender in the event of loss through foreclosure.
Insurance that protects lenders against loss if a borrower defaults. This is required when the loan-to-value ratio is greater than 80 percent.
Sometimes called MI or PMI, these types of policies safeguard the lender who otherwise would be not covered should there be a foreclosure on the property or the borrower ceases to make regular payments on the principal they owe under their mortgage.
Monet paid to insure the mortgage when the down payment is less than 20 percent. It protects a lender against a loss if the borrower defaults.
If your down payment is less than 25% of the purchase price of the property, the lender is going to require either private mortgage insurance or public mortgage insurance through Canada Housing and Mortgage Corporation (CMHC) or GE Capital. The fee is calculated as a percentage of your mortgage. This is known as default insurance. (Please note that we calculate this amount for you automatically if your mortgage falls into this category.)
A policy that protects the lender in the event that the borrower cannot repay the loan.
An insurance policy purchased by the borrower to protect a lender's equity. See private loan insurance.
In Life and Health Insurance, a policy covering a mortgagor from which the benefits are intended (1) to pay off the balance due on a mortgage upon the death of the insured, or (2) to meet the payments on a mortgage as they fall due in the case of his death or disability. Also called Mortgage Redemption Insurance.
A federal or private insurance program that protects mortgage lenders against default risk.
A contract that insures the lender against loss caused by a borrower's or mortgagor's default on a government or conventional mortgage loan. The contract can be issued by a private company or by a government agency such as the Federal Housing Administration (FHA). Depending on the type of mortgage insurance, the insurance may cover all or part of the mortgage loan.
One of the basic uses for life insurance, so called because many family income earners leave insurance for the specific purpose of paying off any mortgage balance outstanding at their death. Many companies have designed special policies for this purpose. Insurance is generally made payable to a family beneficiary instead of to the mortgagee.
Required by lenders in some loans to protect them from a possible default . All conventional loans with less than a 20 percent down payments require private mortgage insurance, or PMI.
An insurance policy, paid for by a borrower which insures a portion of a loan thus reducing risk for a lender.
Life insurance on the borrower which will pay the mortgage loan off in the event of the borrower’s demise.
Insurance purchased by a buyer to cover the lender's risk of loss. Mortgage Insurance is generally required by lenders when the down payment is less than 20% of the purchase price.
A policy that provides protection for the lender in case of default and guarantees repayment of the loan in the event of death or disability of the borrower.
Insurance designed to cover the lender should the borrower default on the loan. Depending on the mortgage, this may be required by the lender.
Mortgage insurance makes it possible to buy a home with less than 20 percent down. It allows lenders to recover part of their financial losses if a borrower fails to fully repay a mortgage loan.
in some cases lenders may require you to purchase an insurance police that will protect them in the event that the borrower defaults on it's loan. You might want to compare your mortgage insurance with a high quality term life insurance.
The amount paid by the borrower to insure the mortgage when the down payment is less than 20 percent. Mortgage insurance is also known as MI or PMI (private mortgage insurance).
Abbreviation for mortgage insurance. Insurance issued by a company, which insures the lender against loss in the event that the borrower defaults on the mortgage
Both private and government mortgage insurance protect the lender against default by insuring repayment of the loan and enables the lender to make loans which the lender considers a higher risk. Lenders often require mortgage insurance for loans where the down payment is less than 20% of the sales price. Mortgage insurance should not be confused with mortgage life, credit life, or disability insurance which are designed to payoff a mortgage in the event of the borrower's death or disability.
Distinct from mortgage life insurance or home, property, fire and casualty insurance; mortgage insurance provides protection to the lender in the event of a default by the borrower.
an insurance policy the borrower buys to protect the lender from non-payment of the loan. Private mortgage insurance policies are usually required if you make a down payment that is below 20% of the appraised value of the home.
Also known as Lenders Mortgage insurance or LMI. When the LVR is higher than 80% most lenders will insist on this insurance. It will protect them if the borrower defaults on the loan. The LMI insurer will then seek to recoup the funds from the defaulter. LMI can be up to 2% of the value of the loan for LVR's of 95%, and is paid as a one off fee.
a legal agreement for which the lender is protected against losses incurred if the borrower defaults on their loan
Insurance required by investors to protect the lender in case the borrower defaults on the loan. Mortgage Insurance is typically required for conventional loans that have a down payment less than 20% of the purchase price. FHA and VA loans have different insurance and guidelines. Also known as Private Mortgage Insurance.
Insurance that covers the lender against losses incurred as a result of a default on a home loan. This is usually required on all loans that have a loan-to-value higher than eighty percent. Mortgages that have an 80% LTV that do not require mortgage insurance have higher interest rates. The lenders then pay the mortgage insurance themselves. In addition, FHA loans and some first-time homebuyer programs require mortgage insurance regardless of the loan-to-value.
A contract that insures the lender against loss caused by a mortgagor's default on a mortgage. Mortgage insurance issued by a private company is called PrivateMI. Mortgage insurance can also be issued by a government agency like the FHA.
Money paid to insure the mortgage when the down payment is less than 20 percent, protecting the lender against default. Insurance can be issued by private sources (private mortgage insurance) or the Federal Housing Administration.
Insurance written by an insurance company that is designed to protect the mortgage lender against a potential loan default. It is usually required for loans with a loan-to-value (LTV) ratio greater than 80%.
MI is written by an independent mortgage insurance company protecting the mortgage lender against loss incurred by a default.
A policy that insures the lender against loss should the homeowner default on a mortgage. Depending on the loan, the insurance can be issued by a government agency such as the Federal Housing Administration (FHA) or a private company. It is part of the monthly mortgage payment. See also private mortgage insurance (PMI). Back
A policy that provides protection for the lender in case of a default and guarantees repayment of the loan if the borrower becomes disabled or dies.
Insurance, paid by the borrower, on the loan in question, to protect the lender in case the borrower defaults.
Insurance which protects the lender against default . Insurance can be issued by private sources (private mortgage insurance) or the Federal Housing Administration.
Insurance which protects mortgage lenders against loss in the event of default by the borrower. This allows lenders against loss in the event of default by the borrower. This allows lenders to make loans with lower down payments.
Mortgage insurance insures a lender against loss caused by a mortgagor's default. This insurance may cover a percentage of or virtually all of the mortgage loan depending on the type of mortgage insurance. See Private Mortgage Insurance or FHA Mortgage Insurance.
An insurance contract that protects the lender against loss if a borrower can't repay a loan
Insurance purchased by the borrower to insure the lender or the government against loss in case of default. MIP, or Mortgage Insurance Premium, is paid on government-insured loans (FHA or VA loans) regardless of the LTV (loan-to-value). PMI, or Private Mortgage Insurance, is paid on those loans which are not government-insured and whose LTV is greater than 80%. When a borrower has accumulated 20% of the home's value as equity, the lender may waive PMI at the borrower’s request.
Money paid to insure the mortgage when the down payment is less than 20 percent. Insurance provided by a non governmental insurer that protects lenders against a loss if a borrower defaults.
Insurance to protect the lender in case you default on your loan. With conventional loans, mortgage insurance is generally not required if you make a down payment of at least 20% of the home's appraised value. (Note, however, that FHA and VA loans have different insurance guidelines.)
Government-backed or private-backed insurance protecting the lender against the borrower's default on high-ratio (and other types of) mortgages.
An insurance policy to protect the lender against loss caused by a borrower default.
insurance provided by non-government insurers that protects lenders against loss if a borrower defaults
A contract that insures the lender against loss caused by a borrower's default on a government mortgage or conventional mortgage. Mortgage insurance can be issued by a private company (private mortgage insurance or PMI) or by a government agency such as the Federal Housing Administration (FHA). See also private mortgage insurance.
Insurance purchased by borrowers to insure the lender or the government against loss if you default. MIP, or Mortgage Insurance Premium, is paid on government-insured loans (FHA or VA loans) regardless of the LTV (loan-to-value). If you pay off a government insured loan prior to maturity, then you may be entitled to a refund of the MIP. Private Mortgage Insurance, (PMI) is paid loans which are not government insured and when LTV is greater than 80%. Once you have accumulated 20% of the property's value as equity, the lender may waive PMI "at your request". Please note that this insurance does not involve any form of life insurance that pays off the loan in the event of death.
Money paid to insure the mortgage when the down payment is less than 20 percent or LTV is greater than 80%.
Insurance that protects the lender against losses due to a default or foreclosures. Note: The legal instrument that shows the borrower is obligated to pay back the loan. Origination Fee: Fee charged by the lender for originating and closing the loans.
Insurance obtained by the lender and paid for by the borrower that protects the lender against possible loss due to foreclosure. Normally required if the loan to value ration is higher than 80%.
Insurance required for loans with a loan amount above 80% of the purchase price.
An insurance policy purchased by the borrower to insure the lender against loss in event of the borrower's default on the loan payments.
Often required by lenders if a buyer of a property does not make a 20% down payment.
Insurance which insures a mortgage lender against loss caused by a mortgagor's default. This insurance may cover part or all of the mortgage loan depending on the type of mortgage insurance, It is paid for for by the borrower and provided by either private companies of FHA/HUD.
A contract that insures the lender against loss caused by a mortgagors default of a government mortgage or conventional mortgage.
Required by lenders on some loans to protect lenders from a possible default. Most conventional loans with down payments or home equity percentages that are less than 20 percent of the home value require private mortgage insurance (PMI).
insurance that may be required by the lender for a high loan-to-value ratio. The policy insures the lender against loss in the event of a default, and is generally added to the monthly mortgage payment. Mortgage insurance may be issued by a government agency such as FHA, or by a private company ( PMI).
Money paid to insure the mortgage when the Loan to Value ratio is greater than 80%. See private mortgage insurance, FHA mortgage insurance.
A contract that guarantees the lender against loss caused by a mortgagor's default on a government or conventional mortgage; such insurance can be issued by a private company or by a government agency, and covers either only a percentage, or the total, of
An insurance policy that will repay a portion of the loan if the borrower does not make payments as agreed upon in the note. Mortgage insurance may be required in cases where the borrower makes less than a 20% down payment on the home loan.
Insurance that protects the lender against loss in the event a mortgage borrower defaults. Also called private mortgage insurance.
Insurance that protects the lender's interest in a mortgage in the event that the borrower defaults on a loan. Required in most cases where the loan-to-value exceeds eighty percent.
Money paid to insure a mortgage when the down payment is less than 20 percent of the purchase price.
a policy that protects lenders against some or most of the losses that can occur when a borrower defaults on a mortgage loan; mortgage insurance is required primarily for borrowers with a down payment of less than 20% of the home's purchase price.
Insurance provided by a private company to protect the mortgage lender against losses that might be incurred if a loan defaults. The borrower usually pays the cost of the insurance and is most often required if the loan amount is more than 80% of the home's value. Sometimes referred to as private mortgage insurance.
Required if you are contributing between 5% and 25% of the value of the property as the down payment. Available through CMHC or GECMIC covering whole or partial losses of principal and interest.
MIP or PMI) Mortgage Insurance Premium ( MIP) or private mortgage insurance ( PMI) refer to insurance that underwrites the lender in the event of the borrower's default — usually paid by the borrower at closing and in recurring payments throughout the term of the loan.
Insurance that a homeowner pays that covers the lender if the value of their collateral (your home) is adversely affected. For example, if a homeowner were to die, MI ensures that the mortgage would still be paid.
Insurance that covers the lender against some of the losses incurred as a result of a default on a home loan. Often mistakenly referred to as PMI, which is actually the name of one of the larger mortgage insurers. Mortgage insurance is usually required in one form or another on all loans that have a loan-to-value higher than eighty percent. Mortgages above 80% LTV that call themselves "No MI" are usually a made at a higher interest rate. Instead of the borrower paying the mortgage insurance premiums directly, they pay a higher interest rate to the lender, which then pays the mortgage insurance themselves. Also, FHA loans and certain first-time homebuyer programs require mortgage insurance regardless of the loan-to-value.
An insurance policy that protects against default and consequent potential loss to the lender. FHA deals in mortgage insurance.
Insurance on some loans, which protects lenders from possible default by borrower. Conventional loans with down payments of less than 20 per cent of the home value usually require private mortgage insurance (PMI)
A form of decreasing term insurance that covers the life of a person taking out a mortgage. Death benefits provide for payment of the outstanding balance of the loan. Coverage is in decreasing term insurance, so the amount of coverage decreases as the debt decreases. A variant, mortgage unemployment insurance pays the mortgage of a policyholder who becomes involuntarily unemployed.
Insurance which protects the lender in the case of a loan default. Mortgage insurance is not necessary if you make a down payment of at least 20% of the home's purchase price with a conventional loan. (Note, however, that FHA and VA loans have different insurance guidelines).
A type of term life insurance often bought by mortgagors. The amount of coverage decreases as the mortgage balance declines. In the event that the borrower dies while the policy is in force, the debt is automatically repaid by insurance proceeds.
Insurance that protects the lender if you default on your loan. This insurance usually costs from 0.15% to 2.5% of the loan amount. If your down payment is less than 20%, most lenders will require you to get mortgage insurance. Also called private mortgage insurance (PMI).
Insurance to guarantee the lender will recover a certain percentage of the loan amount from the insurer if the borrower (or buyer) is unable to make payments on the loan, and the property is foreclosed.
Mortgage Life Insurance refers to a insurance policy that guarantees repayment of a mortgage loan in the event of death or, possibly, disability of the mortgagor. Private Mortgage Insurance or PMI refers to protection for the lender in the event of default, usually covering a portion of the amount borrowed. There are Government loan products that also include a Mortgage Insurance Premium or MIP.