Radian Mortgage Insurance, as a product of Radian Insurance Inc., is an insurance which is aimed at protecting lenders as well as borrowers. Based in Philadelphia, this company offers mortgage insurance as well as any other related services.
Radian also provides a service in trading mortgages in secondary market. By assessing the risk of credit, Radian helps clients to manage risks in any condition.
Benefits of Insuring with Them
There are some advantages you will obtain once you decide to work with Radian Mortgage Insurance. The list of advantages goes as below.
- Buyers can obtain their houses immediately since Radian allows them pay up 5 percent of the property’s value for down payment.
- Radian Mortgage Insurance offers a tax deductible rate for borrowers with $100,000 incomes or less.
- Flexible premium options are made available.
- Buyers may cancel their mortgage insurance once it reaches 80 percent of the house price.
- Radian Mortgage Insurance provides assistance for house buyers to work with their lenders in keeping their houses.
Radian Products for Lenders
Lenders will have to assist the borrowers to select the right type of insurance for both parties. As the lenders should minimize the risk of default losses on the mortgage payment while helping the borrowers to purchase the properties, Radian Mortgage Insurance offers mortgage insurance products that will surely meet this need.
· Borrower - Paid Mortgage Insurance (BPMI)
This first type of Radian Mortgage Insurances requires the mortgage premium to be paid by the borrowers. Payment can be made as a single upfront or monthly payment.
Using this type of product, the borrowers may choose monthly payment with a low upfront payment that allows them to get the house easier. On the other hand, the flexibility of payment opens the opportunity for lenders to attract more buyers as well as make it easier for them to manage the loans.
· Lender-Paid Mortgage Insurance (LPMI)
In this type of insurance, mortgage premium is paid by the lenders on the behalf of the respective buyers.
LPMI allows lenders to increase the loan volume, helps them create a bigger mortgage, raises retention rates as well as offers trusted borrowers with a risk-based pricing option. LPMI also benefits the borrowers in several ways, for instance, helping them removing monthly rates and closing costs, allowing them to pay a low down payment, and so on.
· Single or Single Financed Mortgage Insurance
While single payment requires borrowers to pay the premium at once, Single Financed Mortgage Insurance is an ideal option to reduce the amount of monthly payment as it presents a lower monthly payment as well as cutting the closing costs.
For lenders, this type of Radian Mortgage Insurance will surely bring more customers to them which in turn will add their profits and let them close more loans. The large amount of the loans will lead them to make a greater value of service.
· Split Edge
It is named so because the fact that the mortgage cost is divided into an upfront rate and a lower monthly renewal which in turn reduces the monthly payment of the mortgage.