Finance
In South Dakota, an FHA loan requires the borrower to pay:
ANo mortgage insurance if the down payment is less than 20%
BAn upfront mortgage insurance premium (MIP) and annual MIP for the life of the loan in most cases✓ Correct
CPrivate mortgage insurance (PMI) only if the down payment is less than 5%
DA funding fee to the VA
Explanation
FHA loans require an upfront mortgage insurance premium (UFMIP, typically 1.75% of the loan amount) and annual MIP payments.
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