Private mortgage insurance (PMI) protects the lender should you default on your mortgage payments and is often required for loans where the down payment is less than 15% to 20%. PMI can usually be canceled after your home's value has risen enough to give you 20% to 25% equity in your house.
Are you having trouble making payments on your home mortgage? So are millions of other Americans, and foreclosures are hitting record numbers. But, if you address the problem, you may be able to avoid foreclosure. And, even if you can't save your home, you can take steps to minimize your debt and the damage to your credit score. But don't wait. The key to success is acting quickly.
If you've owned your home for a while or have seen the value rise significantly, you may be thinking about borrowing against the equity. You have two basic choices: a home equity loan or a home equity line of credit.
Many homeowners have a home equity loan or line of credit but don't know the best way to use it. Using home equity can be smart in certain circumstances, and not so smart in others. To make matters more complicated, today's current financial crisis has changed the rules somewhat. Some experts advise using home equity to get a loan or line of credit even if you don't need the money now.
If you are making monthly payments on a home mortgage and finding yourself with extra cash at the same time — maybe because you’re making more money than when you first bought your house — paying more of the principal you owe can offers many financial benefits. The idea is that, while keeping the