Earn more deals and offer more options to homebuyers
If you think mortgage insurance is just for first-time homebuyers, it’s time to rethink your MI strategy. MI Solutions can broaden your borrowers’ financial options so they find the loan – and home – that works best for them. Our 6 strategies below can help you earn more deals by creating new opportunities and solving common obstacles for your borrowers (even if they think they’re out of options).
How MI can help you and your borrowers
- Buy a home sooner: Show prospective borrowers how they can become homeowners sooner and build more equity.
- Expand cash flow options: Your move-up buyers may be able to afford more home by putting down less with MI.
- Free up fixer-upper funds: MI can help your borrowers buy and renovate the dream home they’ve always wanted.
- Overcome a low appraisal: Your borrowers can secure a winning bid when they leverage MI.
- Afford a home in a higher price range: Your borrowers can use private MI as a purchase tool to afford more home.
- Reshape the old way of thinking about MI: Bust the 20% down payment myth and show your borrowers all of their financial options.
MI helps expand house-hunting options
Help your borrowers break into new neighborhoods and new price points with the power of MI! It’s a big accomplishment to save up $15,000 for a down payment. But if your borrowers put 20% down, they would only be able to afford a $75,000 home. Private MI can offer your borrowers increased buying power and expand their home search, allowing them to consider a wider range of home prices and available homes for sale – assuming, of course, that they can afford the higher monthly payment that accompanies the larger home price.
MI when your borrowers need it – not when they don’t
Private MI can usually be canceled when the loan either reaches the cancellation point due to amortization of the original loan amount or the borrowers request cancellation based on an increase in their home value due to appreciation or home improvements. For many borrowers, this may be an advantage over an FHA loan. FHA typically doesn’t allow borrowers to cancel the monthly MI payment unless they put down 10% or more. MI cancellation also gives you an additional opportunity to stay connected to your borrowers. They’ll thank you when you get in touch to notify them that they may be able to cancel!
Dig deeper into these strategies and MI Solutions at RethinkMI.com.
Questions? Contact your MGIC account representative:
Senior Account Manager