When it comes to homeowners seeking out mortgage insurance to help cover the costs of their residential purchases, the product has its greatest usage in Texas.
According to a new report from U.S. Mortgage Insurers (USMI)
, a trade association, 55 percent of first-time homebuyers in Texas, or 79, 030, relied on mortgage insurance during 2017. Other states with a high percentage of usage for this product included California (72,938 borrowers, or 66 percent first-time homebuyers), Florida (69,827 borrowers, or 58 percent first-time homebuyers), Illinois (47,866 borrowers, or 63 percent first-time homebuyers) and Michigan (41,810 borrowers, or 57 percent first-time homebuyers). Alaska had the smallest percentage of borrowers in 2017 using mortgage insurance: 1,780, which accounted for 40 percent of first-time homebuyers.
“This report confirms what we have long known: mortgage insurance is a critical piece of the U.S. housing finance system, helping Americans realize the dream of homeownership while providing important protections to taxpayers and the federal government,” said Lindsey Johnson, President of USMI.