Almega Group of Companies, Financial Planning Consultants, Plano, TX
Phone: 972-964-5100

Almega Mortgage

1800 Preston Park Blvd., Ste 145

Plano, TX  75093

Almega Mortgage

1800 Preston Park Blvd., Ste 145

Plano, TX  75093

Could Obtaining Private Mortgage Insurance (PMI) Help Me Qualify for a Larger Loan?

Yes, it will help you obtain a larger loan, here’s why. Let's say that you are a family with $42,000 Annual Gross Income and monthly revolving debts of $800 for car payment and credit cards, and you have $10,000 for your down payment and closing costs on a 7%-interest mortgage. Without PMI the maximum price you can afford is $44,600, but with PMI covering the lender's risk you now can buy a $62,300 house. PMI has afforded you 39% more house.