Your name saw this post on The ActiveRain Real Estate Network and thought it might be of interest to you. Please see the link below to review the post.

FAQ #5 ........ PMI/MI Why Do I Have To Pay It?
My fifth blog for the ActiveRain contest that Anna 'Banana' Kruchten established in which we are to respond to the 10 most frequently asked questions that we are asked, is about a topic that actually is the source of at least a couple of Frequently Asked Questions.
"FAQ #5 ........ PMI/MI Why Do I Have To Pay It?"
When I first became a Loan Originator, I thought that everyone knew what PMI was and what it stood for, after all I did, and I knew nothing about the mortgage business.  Well it quickly became very evident that was not the case, and that many people have not even heard the term before.
PMI stands for Private Mortgage Insurance, and it is an insurance that the Borrower pays on behalf of the Lender, on every Conventional Loan (Fannie Mae & Freddie Mac) if they do not make at least a 20% downpayment at the time they acquire the mortgage from a Lender.  Yes you heard that correctly, the Lender needs to protect themselves for at least 20% of every loan they make, and it is the Borrower that pays for it, or they are not given the mortgage.  This seems unfair ... more

__________________________________________________
Are you on The Rain? Grow Your Network!