80/15/5

Filed Under mortgage 

80/15/5 - two mortgages with the loan amounts of the first being 80% of the property value, the second being 15% and a 5% down payment. This loan structure is often used when the borrower needs to borrower more than 80% and wants to avoid buying Private Mortgage Insurance. Depend on the borrowers financial situation, a loan officer can structure an 80/10/10, 80/20, or any combination thereof.

Another alternative is talk to us about loans which do not require PMI mortgage insurance even above 80% which may be available in your county.

A mortgage with no PMI may have a higher interest rate than a mortgage with PMI. It is good to compare the two payments to see which one will benefit you.

These so-called piggyback loans typically require good credit and fairly low non-mortgage debt in order to qualify for the second mortgage.

Other sites: Broker Outpost | New Credit Card Minimum Payments | Conforming Loans | Mortgage Broker vs. Your Local Bank| Pay Option Arm Calculator

Is your rate too high? If you're looking to compare mortgage rates or to get a rate quote on a FHA loan start here


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