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How to Avoid Private Mortgage Insurance

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Taking out private mortgage insurance will increase your monthly mortgage payment. So how can you avoid it or get rid of it?

One way is to take out a second mortgage.

“It’s not always a good idea,” said Casey Fleming, a mortgage adviser for C2 Financial Corp. and author of “The Loan Guide.” “If you use two loans, you will avoid mortgage insurance, but you should go in with a plan to get rid of the second mortgage as soon as you can. Second mortgages are expensive.”

Image via Flickr/401(K) 2012

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