Whether your company chooses risk-based pricing or rate card pricing, Enact offers several flexible MI premium structures to help you stay competitive.
Borrower-Paid Monthly/Zero Monthly (Deferred)
Provides a coverage term of one month with premiums paid monthly. The premium rate shown is the annualized first year and renewal rate (divide by 12 to get the monthly amount).
Zero monthly (deferred) features monthly premium rates with no initial premium required to activate coverage.
Best suited for interest rate sensitive borrowers and/or in markets with high appreciation.
Borrower-Paid Single Premium
A one-time premium payment providing coverage that remains in effect until cancelled (in accordance with federal and state cancellation laws or investor requirements).
Best suited for use of available funds at closing; financed premium into the loan amount (offers lowest monthly payment); high credit score borrower, and/or lower LTVs.
Borrower-Paid Level Annual
Provides coverage term of twelve months, with premiums paid annually. This option features the same rate for both first year and at renewal. First year's premiums may be financed into the loan amount.
Borrower-Paid Split Premium
This premium combines lower monthly rates with an upfront premium due at closing.
Best suited for use of available funds at closing; financing upfront premium into the loan amount; reduces DTI; lower monthly payments; and/or multiple upfront options that provide greatest flexibility.
Lender-Paid Mortgage Insurance
Allows the lender to pay the mortgage insurance premium instead of the borrower and can be a great choice for borrowers interested in a borrower-paid alternative.
Best suited for high credit score borrowers, and/or borrowers not sensitive to interest rates.
