| Mortgage Insurance – when your lenders insist | | Posted Monday, April 17, 2006 12:12:28 PM by Kate Grant | You can never know what tomorrow will bring, and what you financial situation is going to be 20 years from now.  Maybe you'll need a mortgage life insurance or disability insurance? If your down payment on a home is less than 20 percent of the appraised value or sale price, you must obtain mortgage insurance. Mortgage insurance sometimes is referred to as personal mortgage insurance.
The cost of mortgage insurance varies depending on the size of the down payment and the loan, but it typically amounts to about one-half of 1 percent of the loan. In mortgage insurance, the borrower pays the premiums, but the lender is the beneficiary. This is a mortgage protection insurance coverage, that protects lenders against the borrower's default. If a borrower stops paying on a mortgage, the insurance company ensures that the lender will be paid in full. Mortgage insurance companies pick insurance providers for their customers, but the borrowers have to foot the bill.
Usually, they do so in monthly installments. But some lenders offer programs whereby the borrower pays the entire insurance premium in a lump sum at closing. A home buyer has to keep paying mortgage insurance premiums until the principal balance is paid down to a certain percentage of the home's original value. There are a couple of ways to avoid paying those mortgage insurance rates. Some lenders will waive the mortgage insurance requirement if the buyer accepts a higher interest rate on the mortgage loan. Shop around for mortgage insurance leads, to help you find the right insurance for you.
... | |
| |
| | | Nigeria: 35 Mortgage Banks Submit Returns to CBN, NDIC | | Posted Friday, January 26, 2007 3:04:03 PM by Blog57 Team | | In apparent reflection of the declining fortunes of the primary mortgage institutions sub-sector, less than 30 mortgage banks submit monthly returns to the Central Bank of Nigeria (CBN) and the Nigeria Deposit Insurance Corporation (NDIC). The Banks and Other Financial Institutions Act (BOFIA) mandates each of the 90 mortgage banks or primary mortgage institutions (PMIs) in the country to submit monthly report to the regulatory authorities. .... | |
| |
| | | Canada: Financing Leasehold Interests: How To Manage The Risks | | Posted Wednesday, January 17, 2007 1:09:22 PM by Blog57 Team | | This article discusses, from a lender's perspective, some of the more effective methods of reducing risks in structuring a leasehold financing program, including a combination of careful underwriting analysis and the inclusion in the leasehold mortgage of specific mortgagee protections unique to leasehold mortgage financing. The... .... | |
| |
| | | PMI Group to Withdraw NYSE Arca Listing | | Posted Tuesday, November 14, 2006 6:58:33 PM by Blog57 Team | | Mortgage insurance provider PMI Group Inc. said Tuesday it will voluntarily withdraw its common stock listing from NYSE Arca Inc., previously known as the Pacific Exchange, to eliminate duplicate fees and administrative requirements. NYSE Arca will continue trading the company's securities on an unlisted trading privilege basis, PMI said. The withdrawal is expected to take effect within the next month. PMI will continue to trade on the New York Stock Exchange. Shares of PMI added 17 cents to $43.06 in morning trading on the Big Board. .... | |
| |
| | | LONDON MARKETS: London Mortgage Banks Decline After U.K. Rate Hike; ITV Soars | | Posted Saturday, November 11, 2006 11:15:34 PM by Blog57 Team | | The Bank of England's rate hike at midday on Thursday pressured shares of mortgage banks such as Bradford & Bingley and Alliance & Leicester. The top U.K. share index, the FTSE 100, lost 0.27% at 6,222.30 as drug companies including AstraZeneca (AZN) and GlaxoSmithKline (GSK) also declined after reports late Wednesday pointed to a Democrat win for both the House of Representatives and the Senate. Many analysts believe that the Democrats will seek to lower prescription drug prices in the U.S., where they are the highest in the world. AstraZeneca shares slipped 2.6% and GlaxoSmithKline lost 1.4%. Thursday's moves follow recent share price weakness from both companies after they released badly-received news on their pipeline progress alongside third- quarter earnings.... | |
| |
| | | Mortgage Insurance explained | | Posted Saturday, November 11, 2006 1:18:40 PM by Blog57 Team | | Getting a mortgage is bad enough – what with terms like fixed rate, discount, variable etc – so mention mortgage insurance and naturally your eyes will start to glaze over. However, mortgage insurance is an extremely important insurance to have – in fact, it can the difference between keeping a roof over your head or ending up having your home repossessed. If you recently took out a mortgage, you may remember the lender asking you whether you wanted mortgage payment protection insurance. It probably sounded expensive and unnecessary. And while, in some cases, there are companies who like to charge you too much for the product, it doesn't have to be that way. .... | |
| |
| | | SL hails huge rise in new insurance sales | | Posted Wednesday, November 08, 2006 7:05:57 PM by Blog57 Team | | STANDARD Life today revealed figures that showed a huge rise in the amount of new insurance business it was winning. The Edinburgh-based former mutual, which floated on the London Stock Exchange in July, said worldwide sales grew by 26 per cent over the first nine months of the year to £1.12 billion, with growth of 41 per cent in the third quarter. .... | |
| |
| | | PMI Group Earnings Rise in 3Q | | Posted Friday, November 03, 2006 7:19:10 AM by Blog57 Team | | Mortgage insurance provider PMI Group Inc. on Thursday said earnings for the third quarter rose because of higher premiums on its policies and brisk business in all segments. Net income rose to $104.2 million, or $1.16 per share, from $95.7 million, or 97 cents per share, a year earlier. Revenue rose to $300.9 million from $271.6 million as net premiums earned, which reflects the portion of premiums that the company earns when policies expire, increased to $214.9 million from $205 million. Analysts surveyed by Thomson Financial had forecast a profit of $1.14 per share on revenue of $294 million. The company said business improved all across all of its operations and the year-ago period's results were damped by charges and reserves at its Financial Guaranty affiliate related to Hurricane Katrina.... | |
| |
| | | PMI Group Secures $400M Credit Line | | Posted Tuesday, October 31, 2006 11:17:07 AM by Blog57 Team | | Private mortgage insurance provider PMI Group Inc. on Monday said it has secured a five-year, $400 million revolving credit facility with Bank of America and a consortium of lenders. PMI said the facility, which replaces a previous $175 million line of credit, may be increased up to $500 million at the company's discretion, provided one or more lenders agrees. The company said the facility may be used for working capital and other business purposes. Shares of PMI rose 7 cents to close at $43.03 on the New York Stock Exchange. .... | |
| |
| | | Fitch Assigns 'AA' IFS Rating to Private Residential Mortgage ... | | Posted Saturday, October 28, 2006 1:18:47 PM by Blog57 Team | | NEW YORK--(BUSINESS WIRE)--Fitch Ratings assigns an Insurer Financial Strength (IFS) rating of 'AA' to Private Residential Mortgage Insurance Corporation (PRMIC). PRMIC is a wholly owned subsidiary of Genworth Mortgage Holdings LLC (GMH), the holding company for Genworth Financial Inc.'s (GNW, Long-Term Issuer Default Rating: 'A+') U.S. mortgage insurance operations. GMH's main operating subsidiary is Genworth Mortgage Insurance Corp. (GMICO, IFS: 'AA'). PRMIC has been reactivated in order to avoid any potential regulatory issues related to insuring certain types of loans that would not be permitted under GMICO's existing monline insurance charter. The Ratings Outlook for PRMIC, GMICO, and GNW is Stable. PRMIC's rating is primarily based on a strong capital support agreement provided by GMICO, in which GMICO provides an irrevocable and unconditional guaranty on all of PRMIC's insurance policies.... | |
| |
| | | Genworth Shares Fall on Broadly Weak 3Q | | Posted Saturday, October 28, 2006 7:06:24 AM by Blog57 Team | | Shares of Genworth Financial Inc. sank in midday trading Friday, a day after the company posted a lackluster third-quarter marked by weak long-term care results, higher delinquencies in mortgage insurance and disappointing earnings from products sensitive to credit spreads. Late Thursday, Richmond, Va.-based Genworth said operating income rose a penny to 66 cents per share, missing analysts' estimates by 4 cents per share. Analysts differed over what the biggest factor in the miss was. The worst profit shortfall by segment came from mortgage insurance, where delinquencies and claims rose. Bernstein Research analyst Suneet Kamath said the most troubling aspect of the quarter was in long-term care, which had a loss ratio of 98 percent. Kamath said he fears the company will need to raise prices on policies, risking the loss of sales.... | |
| |
| |
|
|
