The 3 Strategies to Pay PMI
Manage episode 402546138 series 3467343
The 3 Strategies to Pay Private Mortgage Insurance (PMI)
Whether they're putting 15% down and buying a non-owner-occupied property or utilizing an owner-occupied loan with 0%, 3%, 3.5%, or 5% down for Nomading™ or house hacking, some real estate investors will choose to put less than 20% down. With the decision to put less than 20% down comes the choice of how to pay for private mortgage insurance (PMI).
There are three options (plus some combinations of the three options): up-front lump sum, lender-paid, and monthly. And, as you might have guessed, there are pros and cons to each option.
In this mini-class, James will cover the three options and go over the pros and cons of each.
Check out the video from this class here:
The 3 Strategies to Pay Private Mortgage Insurance - Video
In this class, James discusses:
- What is Private Mortgage Insurance (PMI) and why does it exist?
- Paying PMI with a single, upfront, lump-sum payment
- Voluntarily increasing your mortgage interest rate and having the lender pay for PMI
- Paying PMI monthly
- The pros and cons of utilizing each strategy
- Plus much more...
Free Real Estate Deal Analysis Spreadsheet: Download a copy of the newest version of The World's Greatest Real Estate Deal Analysis Spreadsheet™ by going to:
https://RealEstateFinancialPlanner.com/spreadsheet
Improve Cash Flow: Book a consultation to improve cash flow using our proprietary 88 cash flow improving strategies.
Real Estate Agent & Lender Collaborators: Interested in collaborating with us on the Scottsdale real estate investor podcast? Book a free consultation to discuss.
119 episodes