Interested to Join

[Chuck]

I met an old friend sometime back and while we were reminiscing our happy days, he mentioned something about mortgage insurance. Although it got my attention that time, we drifted on to different topics. How does it work? I mean, if I have a mortgage on my house, do I need to apply for it?

[Margaret]

A mortgage insurance does not apply to a home owner. It provides coverage for the company that gave you the loan. A mortgage insurance therefore is a policy that will compensate the lenders for losses incurred as a result of a home owner defaulting on a mortgage loan.

[Marshall]

Nice explanation Margaret!

[Chuck]

Thanks for that. It helped a lot. Good thing I learned about this before I spent any money.

[Lily]

So how does a homeowner benefit from this?

[Prof Henry]

So how does a homeowner benefit from this?

Aside from protecting lenders of their money, it also protects homeowners from being thrown out of their own houses in cases of default.

[Prof Henry]

Thanks for that. It helped a lot. Good thing I learned about this before I spent any money.

Actually, you can still spend your money this way. Think of it as a life insurance but instead of covering you, it insures your home. and did you know that a mortgage insurance can allow you to buy a new house with less deposit? This means that you don't have to wait until you have the money needed for that 20% deposit.

[Margaret]

Aside from protecting lenders of their money, it also protects homeowners from being thrown out of their own houses in cases of default.

I see. Thanks for that.

[Chuck]

Actually, you can still spend your money this way. Think of it as a life insurance but instead of covering you, it insures your home. and did you know that a mortgage insurance can allow you to buy a new house with less deposit? This means that you don't have to wait until you have the money needed for that 20% deposit.

Thanks for this Henry. Guess this means I'm going to invest then.

[Allison]

How do you invest? Who do you go to?