#TwoforTuesday – HOPA to the rescue! PMI or Private Mortgage Insurance is a good thing, and explaining to clients how it works, what it’s for, and how it can be cancelled afterwards is all apart of making yourself stand out!
This comes in good timing as rates are going up, and Home Possible and Home Ready programs are more attractive as a result. In my group Sales Talk with Mortgage Pro’s, a seasoned LO, asked for a price check across the board and asked over 4000 people what their price was for a 30 yr fixed, 80 LTV. As a result I priced my own and found these two programs a potential “angle” they could pitch. The crowd loved it, and then PMI came up. One has it and one doesn’t. Well there’s advantages and disadvantages to this, in fact PMI is tax deductable up to a certain income bracket still. (married 109k or single 54k). Today I go over the two ways PMI can be cancelled to help you LO’s be able to explain how it works as a viable option to your clients.
Two for Tuesday – Give your clients options, a Government option and a Conventional with PMI option. Look at saving them money in the bank and using the Home Ready or Home Possible options, then explain PMI to them. As a result (assuming they qualify) this can help you stand out as the professional.