Posted on: 19th Nov, 2009 07:25 am
If our home is foreclosed and we have PMI when they sell the home and do not get the entire amount we owe in the sale -will we owe the difference or will the PMI cover the difference? i mean what kind of debt are we looking at after it is a done deal?
private mortgage insurance isn't likely to cover the deficiency. it's structured to cover a certain percentage of the loan, depending on the particular plan; and foreclosures generally go for so much less than original loan amounts, the mi companies won't be able to cover it.