What is the difference between MIP, mortgage insurance, and homeowners insurance?
Mortgage insurance to protect the lender When a bank or other lender makes a loan, they want to make sure they get paid. To encourage lenders to make loans, two large government-backed institutions, Fannie Mae and Freddie Mac, guarantee bank loans. That is, if the borrower does not pay it back, Fannie Mae or Freddie Mac will. Therefore, they are […]
Recent Comments