Sentences with phrase «piggyback mortgages make»

Piggyback mortgages make loans available with just a 10 % down payment; while helping buyers to avoid the mortgage insurance payments typically associated with low - downpayment loans.

Not exact matches

Higher credit scores are typically required for a piggyback loan, but for many buyers, they are the right balance between making a substantial downpayment and avoiding mortgage insurance.

A piggyback loan — also known as a purchase money second mortgage — is when a borrower takes out two mortgage loans at the same time, one that's for 80 % of the home's value and the other to make up the 20 % down payment.

If you have a piggyback mortgage and are making extra principal payments, ALWAYS have them applied to the second mortgage, since this is at a higher rate.

A piggyback loan can help you avoid paying for private mortgage insurance without having to make a 20 percent down payment.

Taking out two mortgages on the same house simultaneously may sound like a bad idea at first glance, but «piggyback loans» are a common way to make a smaller down payment or avoid paying mortgage insurance.

As the economy improves, U.S. lenders have made an additional low - downpayment mortgage options available to today's home buyers — the «piggyback mortgage».

Things you'll be dealing with and paying for in the final stages of your purchase may include having the home appraised (mortgage companies require this to protect their interest in the house), doing a title search to make sure that no one other than the seller has a claim to the property, obtaining private mortgage insurance or a piggyback loan if your down payment is less than 20 %, and completing mortgage paperwork.

A piggyback loan can also make up 20 percent of the home loan, meaning that with an 80 percent first mortgage, no down payment would be needed.