If you made a down payment of $11,000 on a $110,000 house,the lender no doubt will require ____ as a result of the size of the down payment.
A) closing points
B) a bond
C) mortgage insurance
D) application fees
E) homeowner's insurance

Question

Quizplus · Accepted Answer

When a down payment for a house is less than 20 percent of the total home value, most lenders will require mortgage insurance to mitigate their risk. In this case, the down payment is 10 percent of the home value, which is less than 20 percent, so the lender is likely to require mortgage insurance.

If You Made a Down Payment of $11,000 on a $110,000