In some circumstances PMI can be avoided by using a piggy-back mortgage. It works like this: If you want to purchase a house for $200,000 but only have enough money saved for a 10% down payment, you can enter into what is known as an 80/10/10 agreement. You will take out one loan totaling 80% of the total value of the property, or $160,000, and then a second loan, referred to as a piggyback, for $20,000 (or 10% of the value). Finally, as part of the transaction, you put down the final 10%, or $20,000.
By splitting up the loans, you may be able to deduct the interest on both of them and avoid PMI altogether. Of course, there is a catch. Very often the terms of a piggyback loan are risky. Many are adjustable-rate loans, contain balloon provisions or are due in 15 or 20 years (as opposed to the more standard 30-year mortgage).
#akaday@the Capitol-State Representative Jimmy Harris, District 99 in New Orleans. Great to see old friends.
Wall St Journal: Lois Romano
April 17, 2018 at 7:45 PM
Barbara Bush, who was the wife of one president and the mother of another and whose embrace of her image as America’s warmhearted grandmother belied her influence and mettle, died April 17. She was 92.
The office of her husband, former president George H.W. Bush, issued a statement announcing her death but did not disclose the cause. Mrs. Bush was reportedly battling chronic obstructive pulmonary disease and congestive heart failure. Her family announced on April 15 that she had “decided not to seek additional medical treatment” after recent hospitalizations amid her “failing health.”
As the matriarch of one of America’s political dynasties, Mrs. Bush spent a half century in the public eye. She was portrayed as the consummate wife and homemaker as her husband rose from Texas oilman to commander in chief. They had six children, the eldest of whom, George W. Bush, became president. Their eldest daughter, Robin, died at age 3 of leukemia, a tragedy that had a profound impact on the family.
See how much money you spend this month with a “Sample Budgeting Worksheet”- http://www.consumer.ftc.gov/articles/pdf-1020- make-budget-worksheet.pdf