| Message |
Author |
|
 Posted: Fri Jan 23, 2009 11:53 am Post subject: Mortgage insurance or more down payment? |
|
|
Hi, which one is a better option - buying your home with mortgage insurance or wait till the time you save a large amount for your down payment? Would it really be of any help when you have saved 20% worth of down payment?
BarbieAlmeida
_________________
Register Now to have your Insurance queries solved. |
|
BarbieAlmeida
Guest
|
|
| Posted: Fri Jan 23, 2009 2:11 pm Post subject: |
|
|
Well you can kind of have it both ways...once your loan balance is below 80% you can contact your mortgage company and request that the PMI be removed...I have personally been successful in this three times...now is a pretty good time to BUY a home...not so much on selling one. 
_________________
"Never, never be afraid to do what's right, especially if the well being of a person or animal is at stake. Society's punishments are small compared to the wounds we inflict on our soul when we look the other way." Martin Luther King Jr. |
|
Lori
Moderator
Joined: 10 Sep 2007
Posts: 7547
Location: Missouri
173.06 Dollars($)
|
|
| Posted: Fri Jan 23, 2009 5:01 pm Post subject: |
|
|
| With just those two factors, wait until you have 20%. If means you don't have to pay for the extra PMI and you don't have to pay interest on 20% of the home for 15-30 years. Again, given just those 2 factors its a no-brainer. But there are usually many other factors involved (current cost of living, affordability, etc). |
|
tcope
Forum Expert
Joined: 22 Nov 2006
Posts: 3205
Location: Salt Lake City, UT
336.41 Dollars($)
|
|
| Posted: Sat Jan 24, 2009 7:11 am Post subject: |
|
|
Yes my friend, you may certainly think of a lower down payment with the hike in tax rates and dipping interest rates. Just make sure that you have enough to bear that down payment worth 20-25%. It would be beneficial- you'd have a major tax-rebate for the payments in connection with your mortgage interest. On the other hand you may spend this money upon other forms of investments.
_________________
Register Now to have your Insurance queries solved. |
|
anonymous00
Guest
|
|
