[VIDEO] Put Less than 20% Down…and Avoid PMI

Pay NO PMI and put down less than 20%…it’s possible!



How about you DON’T put down 20% on that house but STILL avoid paying monthly PMI? Yes, it’s possible. First off, let’s talk about PMI, or private mortgage insurance. PMI is a type of insurance that protects the lender in case you default on your loan. It’s typically required if you have a down payment of less than 20% on your home. But here’s the thing, it IS possible to avoid that 20% – it’s called an 80-10-10 loan. This type of loan allows you to put down 10% as a down payment, and then take out two loans to cover the remaining cost of the home – one for 80% of the purchase price, and the other for 10%. This way, you can avoid PMI while still putting down less than 20% as a down payment. It’s important to note that 80-10-10 loans can be more expensive in the long run, depending on a variety of factors, so make sure you carefully weigh the pros and cons before deciding if this method is right for you. Shoot me a message if you’d like to learn more about the 80-10-10 loan strategy and see if it’s right for you!