Mortgage Insurance.....

hardik Soni · Joined: 16 Jun 2010 Posts: 42 Location: India

Hello Everyone,

Things What ever we do in our life for that first of all we will think about either it is secure or not ? Such a same thing can be consider in Mortgage loan. Before getting the Mortgage Loan, We must think that either it is secure for us or not ? For security purpose there are many different ways for different things.

One of the most easy and reliable way for Mortgage Loan Security is “Mortgage Insurance”. Now the question is that what is Mortgage Insurance ? So we can say that, Mortgage insurance is a financial guaranty for the lender that will help to reduce or eliminate a loss in the case of a default by the borrower, and it is almost universally required on loans where there is less than twenty percent equity. That means if you are purchasing a home with less than twenty percent down or refinancing to more than eighty percent of your homes value, you are going to be required to pay mortgage insurance. In other words, mortgage insurance spreads the risk between the lender and the insurance company. But Can anybody tell me that how many types of Mortgage Insurance are available for Mortgage loan ? How we can apply for Mortgage Insurance ?

Thanks.