• 
  Like
• 
  Follow

Search news    

---

Consider mortgage insurance when buying a home

June 3, 2010 - When a person is thinking about moving because they want to purchase a home, mortgage insurance should be considered.

Although a housing market recovery is underway, there are still many consumers out there who cannot afford a 20 percent down payment on a home. When this is the case, mortgage insurance will often be required by the lenders. Recently, more private insurance companies have begun offering this option, the New York Times reports.

During the collapse of the housing market, many consumers went to the Federal Housing Administration to find mortgage insurance when they wanted to purchase a home. Now that a recovery is underway, the government agency has begun providing fewer of these policies.

However, thanks to improved financial conditions and a more stable real estate market, private mortgage insurance companies have been able to ease their standards and begin offer more of these options to homebuyers. Now in some cases, consumers only able to put down as little as 5 percent up front can secure a mortgage.

In addition to looking into mortgage insurance when buying a home, consumers should look into natural disaster coverage when purchasing home insurance policies.

Recent Articles

Related Categories