Finance
What is PMI and when is it typically required?
AProperty Management Insurance — always required
BPrivate Mortgage Insurance — required when LTV exceeds 80%✓ Correct
CPrimary Market Index — used to set interest rates
DProperty Market Indicator — used by appraisers
Explanation
PMI (Private Mortgage Insurance) protects the lender if the borrower defaults. It's typically required when the down payment is less than 20% (LTV above 80%).
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