Mortgage insurance is another tool to add to your toolkit to help establish an affordable path to homeownership for more borrowers.
- Borrowers can put as little as 3% down
- Competitive rates
- Flexible terms and payment options
- Requires less paperwork than FHA loans
- Fewer steps mean more efficient processing time
- Borrowers can move in faster
- Private MI is temporary compared to government-insured loans
- Borrowers may cancel after building enough equity
Eligible homeowners with annual adjusted gross incomes of $100,000 or less can deduct their MI premiums from their federal income tax returns through December 31, 2020. Homeowners with incomes between $100,000-$109,000 are eligible for a reduced tax break.
*Homeowners should consult their tax advisors to determine if they’re eligible to claim the MI deduction.