{"id":868,"date":"2023-07-19T11:25:11","date_gmt":"2023-07-19T03:25:11","guid":{"rendered":"https:\/\/www.99.co\/singapore\/glossary\/?p=868"},"modified":"2023-07-19T11:25:11","modified_gmt":"2023-07-19T03:25:11","slug":"pmi","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/","title":{"rendered":"PMI"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\" id=\"h-definition-of-pmi\">Definition of PMI<\/h2>\n\n\n\n<p>Private Mortgage Insurance (PMI) is a type of insurance that protects lenders from the risk of default by the borrower. In Singapore&#8217;s real estate market, a similar concept exists in the form of Mortgage Insurance and <a href=\"https:\/\/www.99.co\/singapore\/glossary\/mortgage-reducing-term-assurance-mrta\/\" target=\"_blank\" rel=\"noreferrer noopener\">MRTA<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Understanding PMI<\/h2>\n\n\n\n<p>PMI is typically required when a homebuyer makes a down payment of less than 20% of the home&#8217;s purchase price. It protects the lender in case the borrower fails to repay the loan.<\/p>\n\n\n\n<p>The cost of PMI varies depending on the size of the down payment and the borrower&#8217;s credit score, but it can add a significant amount to the homeowner&#8217;s monthly mortgage payment.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Importance of PMI in Real Estate<\/h2>\n\n\n\n<p>In Singapore, homebuyers who use a <a href=\"https:\/\/www.99.co\/singapore\/glossary\/central-provident-fund-cpf\/\" target=\"_blank\" rel=\"noreferrer noopener\">Central Provident Fund (CPF)<\/a> or a <a href=\"https:\/\/www.99.co\/singapore\/insider\/9-must-know-things-about-using-cpf-to-buy-a-house\/?_rt=NnwxfGNwZnwxNjg5NTgwNTQ5&amp;_rt_nonce=1c7633659e\" target=\"_blank\" rel=\"noreferrer noopener\">HDB loan to finance their home purchase<\/a> and whose loan-to-value ratio exceeds a certain threshold are required to buy a Mortgage Insurance. This insurance serves a similar purpose as PMI, protecting the lender from the risk of default.<\/p>\n\n\n\n<p>The cost of this insurance is often included in the loan amount, and it provides protection to both the lender and the borrower.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Conclusion<\/h3>\n\n\n\n<p>While PMI is not a common term in Singapore, the concept of Mortgage Insurance plays a similar role, protecting lenders from default risk and enabling homebuyers to finance their property purchases with smaller down payments.<\/p>\n\n\n\n<p>Understanding the role of such insurance in home financing can help homebuyers plan their finances more effectively.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Definition of PMI Private Mortgage Insurance (PMI) is a type of insurance that protects lenders from the risk of default by the borrower. In Singapore&#8217;s real estate market, a similar concept exists in the form of Mortgage Insurance and MRTA. Understanding PMI PMI is typically required when a homebuyer makes a down payment of less&hellip;<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[87],"tags":[99,100],"class_list":{"2":"type-post","9":"entry"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v20.7 (Yoast SEO v25.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>PMI Definition, Understanding and Why PMI is Important?<\/title>\n<meta name=\"description\" content=\"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore&#039;s real estate market.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"PMI\" \/>\n<meta property=\"og:description\" content=\"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore&#039;s real estate market.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\" \/>\n<meta property=\"og:site_name\" content=\"Property Glossary\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/99dotco\" \/>\n<meta property=\"article:published_time\" content=\"2023-07-19T03:25:11+00:00\" \/>\n<meta name=\"author\" content=\"Azhann\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Azhann\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\"},\"author\":{\"name\":\"Azhann\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/11d17ecc350fdd47219c92f17bddb0af\"},\"headline\":\"PMI\",\"datePublished\":\"2023-07-19T03:25:11+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\"},\"wordCount\":242,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#organization\"},\"keywords\":[\"pmi\",\"private mortgage insurance\"],\"articleSection\":[\"Mortgage\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\",\"url\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\",\"name\":\"PMI Definition, Understanding and Why PMI is Important?\",\"isPartOf\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#website\"},\"datePublished\":\"2023-07-19T03:25:11+00:00\",\"description\":\"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore's real estate market.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Property Glossary\",\"item\":\"https:\/\/www.99.co\/singapore\/glossary\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Mortgage\",\"item\":\"https:\/\/www.99.co\/singapore\/glossary\/mortgage\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"PMI\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#website\",\"url\":\"https:\/\/www.99.co\/singapore\/glossary\/\",\"name\":\"Real Estate Terms | A-Z Property Glossary\",\"description\":\"Singapore Real Estate Glossary\",\"publisher\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.99.co\/singapore\/glossary\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#organization\",\"name\":\"99.co\",\"url\":\"https:\/\/www.99.co\/singapore\/glossary\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.99.co\/singapore\/glossary\/wp-content\/uploads\/2023\/05\/nnco_logo.webp\",\"contentUrl\":\"https:\/\/www.99.co\/singapore\/glossary\/wp-content\/uploads\/2023\/05\/nnco_logo.webp\",\"width\":192,\"height\":72,\"caption\":\"99.co\"},\"image\":{\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/99dotco\",\"https:\/\/www.instagram.com\/99.co\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/11d17ecc350fdd47219c92f17bddb0af\",\"name\":\"Azhann\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/132b70b288b02bedf3fad5a61b86016dee9c5b8b969f24adfd961dfd8ee82fcd?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/132b70b288b02bedf3fad5a61b86016dee9c5b8b969f24adfd961dfd8ee82fcd?s=96&d=mm&r=g\",\"caption\":\"Azhann\"},\"url\":\"https:\/\/www.99.co\/singapore\/glossary\/author\/azhann99-co\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"PMI Definition, Understanding and Why PMI is Important?","description":"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore's real estate market.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/","og_locale":"en_US","og_type":"article","og_title":"PMI","og_description":"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore's real estate market.","og_url":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/","og_site_name":"Property Glossary","article_publisher":"https:\/\/www.facebook.com\/99dotco","article_published_time":"2023-07-19T03:25:11+00:00","author":"Azhann","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Azhann","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#article","isPartOf":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/"},"author":{"name":"Azhann","@id":"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/11d17ecc350fdd47219c92f17bddb0af"},"headline":"PMI","datePublished":"2023-07-19T03:25:11+00:00","mainEntityOfPage":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/"},"wordCount":242,"commentCount":0,"publisher":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/#organization"},"keywords":["pmi","private mortgage insurance"],"articleSection":["Mortgage"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.99.co\/singapore\/glossary\/pmi\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/","url":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/","name":"PMI Definition, Understanding and Why PMI is Important?","isPartOf":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/#website"},"datePublished":"2023-07-19T03:25:11+00:00","description":"Discover the role of Private Mortgage Insurance (PMI) and its equivalent in Singapore's real estate market.","breadcrumb":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.99.co\/singapore\/glossary\/pmi\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.99.co\/singapore\/glossary\/pmi\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Property Glossary","item":"https:\/\/www.99.co\/singapore\/glossary\/"},{"@type":"ListItem","position":2,"name":"Mortgage","item":"https:\/\/www.99.co\/singapore\/glossary\/mortgage\/"},{"@type":"ListItem","position":3,"name":"PMI"}]},{"@type":"WebSite","@id":"https:\/\/www.99.co\/singapore\/glossary\/#website","url":"https:\/\/www.99.co\/singapore\/glossary\/","name":"Real Estate Terms | A-Z Property Glossary","description":"Singapore Real Estate Glossary","publisher":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.99.co\/singapore\/glossary\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.99.co\/singapore\/glossary\/#organization","name":"99.co","url":"https:\/\/www.99.co\/singapore\/glossary\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/logo\/image\/","url":"https:\/\/www.99.co\/singapore\/glossary\/wp-content\/uploads\/2023\/05\/nnco_logo.webp","contentUrl":"https:\/\/www.99.co\/singapore\/glossary\/wp-content\/uploads\/2023\/05\/nnco_logo.webp","width":192,"height":72,"caption":"99.co"},"image":{"@id":"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/99dotco","https:\/\/www.instagram.com\/99.co"]},{"@type":"Person","@id":"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/11d17ecc350fdd47219c92f17bddb0af","name":"Azhann","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.99.co\/singapore\/glossary\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/132b70b288b02bedf3fad5a61b86016dee9c5b8b969f24adfd961dfd8ee82fcd?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/132b70b288b02bedf3fad5a61b86016dee9c5b8b969f24adfd961dfd8ee82fcd?s=96&d=mm&r=g","caption":"Azhann"},"url":"https:\/\/www.99.co\/singapore\/glossary\/author\/azhann99-co\/"}]}},"_links":{"self":[{"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/posts\/868","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/comments?post=868"}],"version-history":[{"count":3,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/posts\/868\/revisions"}],"predecessor-version":[{"id":883,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/posts\/868\/revisions\/883"}],"wp:attachment":[{"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/media?parent=868"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/categories?post=868"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.99.co\/singapore\/glossary\/wp-json\/wp\/v2\/tags?post=868"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}