Branch Manager with New American Funding Oscar Reto joins the Atlanta Real Estate Forum Radio podcast to discuss the lender’s programs for self-employed borrowers, his experience in accounting and the current state of the housing market. Reto joins hosts Carol Morgan and Todd Schnick for the All About Real Estate segment.
While borrowers never want to part with more money, there is one overriding benefit of Private Mortgage Insurance (PMI). Borrowers with less than a 20 percent down payment for a conventional mortgage loan or those who do not meet the income requirements have an opportunity to be a homeowner by paying for private mortgage insurance.
According to www.pmi-us.com, the benefits of PMI are threefold: the ability to buy a home with a lower down payment, tax-deductible premiums for eligible borrowers and a choice of payment options.
- While any homebuyer can appreciate the benefits of PMI, the real advantage is for first-time homebuyers, as it requires a much lower down payment, giving first-time homeowners an opportunity to purchase a home sooner and it allows for loans that exceed the FHA limit. With a slowly-reenergizing economy following the housing bubble of 2008, PMI helps borrowers enjoy the benefits of home ownership years before they are able to save the 20 percent down payment often required by mortgage lenders.
- A new borrower is capable of owning a home while concurrently building equity and enjoying tax deductions on interest and property taxes. Besides the other tax benefits of owning a home, borrower-paid PMI premiums were 100 percent tax-deductible through 2013 for eligible borrowers with adjusted gross incomes of up to $100,000.
- Some of Starkey Mortgage’s payment options include:
- On a monthly premium plan, the mortgage insurance premium is incorporated into your overall loan payment each month, and you pay no upfront premium.
- On an annual plan, you’ll pay an initial premium at closing and a renewal premium each year that follows.
- With a single premium plan, the mortgage insurance premium is a one-time charge – paid in full at closing or financed into your loan – so you make no monthly premium payments.
Want to know if Private Mortgage Insurance would be a smart option for your new home purchase? Please contact Starkey Mortgage’s Senior Vice President and Regional Manager for the East Region, Debra Watt (NMLSR #346277, NC License #I-149994) at 704-246-0132 or firstname.lastname@example.org.
At Starkey Mortgage, people are key. The mortgage company prides itself on creating loyalty and long-term relationships with its customers and employees. As a full-service mortgage banker, Starkey Mortgage originates, processes, underwrites, closes and funds residential mortgage loans in its name. This “in-house” authority provides increased control over the mortgage process which results in superior customer service. For information on Starkey Mortgage, visit www.starkeymtg.com.
Equal Housing Lender. WR Starkey Mortgage, LLP NMLSR# 2146, 10800 Sikes Place, Suite 110, Charlotte, NC 28277, Branch Phone: 704.849.2125, Branch NMLSR#93518, Branch License #L-112550-102, SC License #MLB-93518.