HUD 221(d)(4) Mortgage Insurance Premium

What is a Non-Recourse Loan?

What is a Non-Recourse Loan?

If a loan is non-recourse, a lender can take possession of assets used as collateral to secure the loan. However, unlike a recourse loan, if money is still owed after selling the collateral, with a non-recourse loan, the lender cannot go after the borrower’s other assets or garnish wages. The lender must accept the loss.

What is MIP (Mortgage Insurance Premium)?

What is MIP (Mortgage Insurance Premium)?

A HUD mortgage insurance premium, or MIP, is paid annually, beginning at closing for each year of construction and then annually.