Skip to content

PMI Disclosures Required on Non-Owner Occupied?

Answered by: 

Question: 
Are initial PMI disclosures required on non-owner occupied purchase transactions?
Answer: 

Not unless it's required under state law. The Homeowners Protection Act (12 U.S.C. Section 4901) in item 15 defines "Residential Mortgage Transaction" as:

(15) Residential mortgage transaction.- The term "residential mortgage transaction" means a transaction consummated on or after the date that is 1 year after the date of enactment of this Act, in which a mortgage, deed of trust, purchase money security interest arising under an installment sales contract, or equivalent consensual security interest is created or retained against a single-family dwelling that is the principal residence of the mortgagor to finance the acquisition, initial construction, or refinancing of that dwelling. (emphasis added)

First published on BankersOnline.com 9/10/12

First published on 09/10/2012

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics