I specialize in Kentucky First Time Homebuyers FHA, VA, USDA & Rural Housing, KHC and Fannie Mae mortgage loans. I have helped over 900 Kentucky families buy their first home and refinance their current mortgage for a lower rate; Kentucky First time buyers $0 down still available with down payment assistance with KHC. Free Mortgage applications same day approvals. Web site is not endorsed by the FHA, VA, USDA govt agency. Text/call 502-905-3708 firstname.lastname@example.org
NMLS 57916 NMLS ID 1364
Private Mortgage Insurance or PMI Guide for Kentucky Home Mortgage Loans
Borrower-Paid Monthly (BPMI)
BPMI permits the borrower to pay the MI premium monthly, or as a single up front premium.
You can finance the single premium into the loan.
BPMI helps lenders offset the risk of a low down-payment mortgage.
Borrowers can qualify for a loan with a smaller down-payment, enabling them to purchase a home sooner.
Benefits the borrower and lender
With LPMI, the lender pays the MI premium on behalf of the borrower. Thus allowing the lender to charge a slightly higher interest rate on the loan.
In addition to increasing loan volume, LPMI lets you realize additional servicing profits through secondary marketing execution. Benefits include:
Potential to originate larger first mortgages, resulting in higher servicing values
Increase retention rates and repeat loan transactions through higher customer satisfaction
Risk-based pricing options can offer even better rates for credit-worthy borrowers
Benefits to the borrower
Lower down-payment needed
Possibility of qualifying for a larger loan without increasing monthly payments
Borrower-Paid Single Premium
A single premium is a MI product that can be financed, paid using seller concessions, other contributions, or paid out of the borrowers own funds.
Saves the borrower significant money on the long term cost of MI. If it is financed it is also tax deductible because it is financed into the loan.
The cost of MI overall usually equates to four-five years of premium. In some cases, with credit score buckets, it can be much less.
By splitting the MI cost into an upfront premium and a smaller monthly renewal, split MI dramatically reduces a borrower’s monthly MI payment.
Split-monthly can help the borrower qualify for a larger loan while generating higher profits for the lender.
Split-MI can give you a competitive advantage over the competition by lowering the monthly MI. The monthly MI may be reduced by paying an “upfront premium” to buy down the monthly MI. The upfront premium may be financed: paid using seller concessions, lender credits, or paid in cash at closing. You can use a combination of these options to cover the up front premium.
The upfront split premium counts in points and fees just like single premium MI.
May be used as a strategy to help reduce a DTI over 45 to avoid a price adjustm
If you want a personalized answer for your unique situation call, text, or email me or visit my website below:
Joel Lobb Mortgage Loan Officer Individual NMLS ID #57916
American Mortgage Solutions, Inc. 10602 Timberwood Circle Louisville, KY 40223 Company NMLS ID #1364
If you are an individual with disabilities who needs accommodation, or you are having difficulty using our website to apply for a loan, please contact us at 502-905-3708.
Disclaimer: No statement on this site is a commitment to make a loan. Loans are subject to borrower qualifications, including income, property evaluation, sufficient equity in the home to meet Loan-to-Value requirements, and final credit approval. Approvals are subject to underwriting guidelines, interest rates, and program guidelines and are subject to change without notice based on applicant's eligibility and market conditions. Refinancing an existing loan may result in total finance charges being higher over the life of a loan. Reduction in payments may reflect a longer loan term. Terms of any loan may be subject to payment of points and fees by the applicant Equal Opportunity Lender. NMLS#57916http://www.nmlsconsumeraccess.org/
-- Some products and services may not be available in all states. Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. The content in this marketing advertisement has not been approved, reviewed, sponsored or endorsed by any department or government agency. Rates are subject to change and are subject to borrower(s) qualification.
I have helped over 1300 Kentucky families buy or refinance their home over the last 20 years. Realizing that this is one of the biggest, most important financial transactions a family makes during their lifetime, I always feel honored and respected when I am chosen to originate their personal home loan. You can count on me to deliver on what I say, and I will always give you honest, up-front personal attention you deserve during the loan process.
I have several advantages over the large banks in town. First, I can search and negotiate for your loan options through several different mortgage companies across the country to get you the best deal locally. Where most banks will offer offer you their one set of loan products. I have access to over 10 different mortgage companies to broker your loan through to get you the best pricing and loan products that may not fit into the bank's program due to credit, income, or other underwriting issues.
You will not get lost in the shuffle like most borrowers do at the mega banks; you're just not a number at our company, you are a person and we will treat you like one throughout the entire process.