NMIH
- NMI Holdings, Inc.
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Overview
Company Summary
NMI Holdings, Inc. (NMIH) is a specialty insurance company that operates in the mortgage insurance sector. The primary business of NMI Holdings is providing private mortgage insurance (PMI) to lenders, enabling them to mitigate the risk of default on mortgage loans. PMI is typically required when homebuyers make a down payment of less than 20% of the home's value.
NMI Holdings works with lenders, such as banks and credit unions, to provide mortgage insurance coverage that protects these lenders in case borrowers default on their mortgage payments. By offering PMI, NMI Holdings allows lenders to expand their lending options and serve a larger customer base, particularly borrowers with lower down payments and less-established credit histories.
NMI Holdings has developed underwriting guidelines and risk assessment models that determine the pricing and eligibility for its mortgage insurance policies. These policies are designed to protect lenders against losses in the event of default, helping them maintain a healthier loan portfolio. Additionally, NMI Holdings provides lenders with tools and technology platforms to manage mortgage insurance applications, claims, and reporting processes.
The company's objective is to support the housing market by making homeownership more accessible and affordable for a wider range of borrowers. NMI Holdings operates across various segments of the mortgage lending industry, including government-sponsored loans, loans originated through the Federal Housing Administration (FHA), and loans originated through other government agencies.
In summary, NMI Holdings, Inc. offers private mortgage insurance solutions to lenders, allowing them to extend credit to borrowers with lower down payments while protecting themselves against potential losses in the event of default.