MI talking points

• It could take 27 years for a middle-class family earning the national median income of $74,580 to save 20% for a down payment on a $394,100 home, the median sales price for a single-family home in 2023.¹
• With MI, you can buy a house sooner with as little as a 3% down payment. More than 800,000 borrowers used MI in 2024 to obtain mortgage financing.²
• Waiting to save a 20% down payment can cost you financially. While waiting, you miss out on building equity and by the time you have enough money saved, home prices will likely have increased.
• You may be wondering how much you will need to pay for MI. Most borrowers choose a monthly premium plan. The actual cost varies based on your loan amount and other factors. The Buy Now vs. Wait Calculator can give you a general sense of the cost.
• Private MI is generally a temporary expense and can usually be cancelled once you have 20% equity in your home based on the original purchase price.
• Beginning in tax year 2026, qualified homeowners can deduct their MI premiums from their federal income taxes.
• Let’s run the numbers together.

• Even if you have a 20% down payment saved, you may want to consider using some of that money in a strategic way that allows you to buy a larger or more desirable home. For example, say you have $40,000 in savings for a down payment. Instead of using the full amount for a 20% down payment on a $200,000 house, you could put 10% down ($40,000) on a larger or more expensive home that costs $400,000.
• If you’re planning to put 20% down and you’re concerned about outgrowing the homes available in your price range, you may want to buy a bigger home instead that will accommodate your growing family. Doing this means you could avoid the cost and hassle of moving in the future.
• Home prices generally rise. Being able to buy more house now – at today’s prices – may save you money in the long run. The larger or more expensive home may cost even more in the future.
• You may be wondering how much you will need to pay for MI. Most borrowers choose a monthly premium plan. The actual cost varies based on your loan amount and other factors. The Buy Now vs. Wait Calculator can give you a general sense of the cost.
• Private MI is generally a temporary expense and can usually be cancelled once you have 20% equity in your home based on the original purchase price.
• Beginning in tax year 2026, qualified homeowners can deduct their MI premiums from their federal income taxes.
• Let’s run the numbers together.

• Even if you have enough money saved for a 20% down payment, you may want to consider making a smaller down payment so you have money left over for other things, such as home improvements, credit card debt or an emergency fund.
• There are expenses to consider after you buy a home. In the first year, the average new homeowner spends approximately $14,000 on things like updates (paint, flooring, window treatments, etc.), appliances, furniture or yard equipment.³
• Using MI is especially helpful if you buy a fixer-upper and don’t have another source of funds for repairs.
• Having a rainy-day fund is an important safety net as a homeowner. If you were to lose your job, your savings could help you to pay your monthly mortgage payment while seeking employment.
• You may be wondering how much you will need to pay for MI. Most borrowers choose a monthly premium plan. The actual cost varies based on your loan amount and other factors. The Buy Now vs. Wait Calculator can give you a general sense of the cost.
• Private MI is generally a temporary expense and can usually be cancelled once you have 20% equity in your home.
• Beginning in tax year 2026, qualified homeowners can deduct their MI premiums from their federal income taxes.
• Let’s run the numbers together.

¹ U.S. Mortgage Insurers' MI in Your State Report, 2024; ² USMI.org, 2025; ³ Zillow, 2025