Mortgage Broker Company: Mortgage Insurance

There are two types of mortgage insurance, a lender’s mortgage insurance and a borrower’s mortgage insurance.

A lender mortgage protects the lender if the borrower defaults on the home loan. The insurance will protect the lender from any losses.

This is required when a buyer makes a deposit that is less than 20% pf the loan.

The borrower is protected in case the buyer defaults on payments due to circumstances unforseen. (Death, Illness, etc)

The borrower’s mortgage insurance can be bought from the lender, however, that rate is usually fixed. If the borrower researches mortgage insurance from insurance brokers or companies the chances are greater that a better deal will be found. If you obtain the mortgage insurance from another company instead of the lender - once you have paid down some of your debt your premium can be lowered also. This is what you want to acheive.