This is a question that gets asked a lot and most of the time most buyers don't understand what it is.  The thing to remember is that Mortgage Insurance doesn't cover you - it covers the lender.

It makes sense that the more equity you have in a property, the less likely you are to default.  Thus, if you have 20% or more to put down, you do not need to worry about mortgage insurance.

 

But if you are like 80% of the people who own their first home, chances are pretty great that you have a mortgage that you currently pay from $50 to over $200 a month in mortgage insurance.  If that is the case, you might want to do some homework to see if you can get rid of that insurance.

Mortgage Insurance Chart

Based on this formula, you may be able to contact your mortgage company about removing this insurance based on your payment history.  Call your mortgage lender or call Bev at 970-631-7111 for more information.