Finance
Private mortgage insurance (PMI) on a Missouri conventional loan is typically required until:
AThe loan is 5 years old
BThe borrower has 20% equity in the property✓ Correct
CThe borrower refinances
DThe loan balance drops below $100,000
Explanation
PMI is required on conventional loans with less than 20% down and can be cancelled (by request or automatically) once the borrower reaches 20% equity based on original value or current appraisal.
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