In most cases, the answer is no – you won’t. Sometimes though, even with 20% or more down, lenders may still want the mortgage to be insured. Some reasons would include:
- location of the property (ie. remote area)
- size of the property (ie. small square footage)
- property does not conform to the area (ie. large, expensive house in middle income area)
- using stated income product with less than 35% down
- some lenders will want 25% or more down for rental property to avoid paying the default insurance premium
