Private mortgage insurance (PMI) is an insurance product for the mortgage lender’s for assuming additional risk by accepting a lower amount of upfront.You can avoid paying PMI by making a 20% down payment.
How much does PMI cost?
The average cost of PMI ranges from 0.55% to 2.25% of the original loan amount.
(I.E. if you have a $250,000 mortgage <> PMI would cost $1,375 to $5,625 per year)
What factors consist of the PMI?