How much is PMI (private mortgage insurance) for bad credit borrowers?
Answer:If you are a bad credit borrower, you probably wonder how much is PMI (private mortgage insurance) in your case.
Well, certainly PMI (private mortgage insurance) may cost you tens and perhaps over a hundred more in your monthly payment. In case you are paying PMI (private mortgage insurance) on your own, you will be seeing you're are paying noticeably high PMI. If the cost of PMI (private mortgage insurance) is wrapped into the loan, you will be getting real high rates.
Especially if you fall in the subprime category of credit score 630 and lower, you will be paying significantly more for PMI than non-risky borrowers.
Sometimes, you will not know about the high cost of PMI (private mortgage insurance) until closing, but lenders expect you to know that as a bad credit borrower, your loan is carrying high risk and lenders will either demand higher PMI, or higher interest rate to provide for higher return on a risky loan.
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