Finance
A Michigan buyer obtains a conventional loan with a 20% down payment. The buyer's primary benefit of putting 20% down is:
ALower property taxes
BAvoidance of private mortgage insurance (PMI)✓ Correct
CA fixed interest rate
DGuaranteed approval
Explanation
When a buyer puts 20% or more down on a conventional loan, they avoid the requirement to pay private mortgage insurance (PMI), which can significantly reduce their monthly payment.
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