Mortgage Guaranty Insurance Corporation
From Wikipedia, the free encyclopedia
Mortgage Guaranty Insurance Corporation (a subsidiary of MGIC Investment Corporation) NYSE: MTG is the largest provider of private mortgage insurance in the United States.
Private mortgage insurance covers residential first mortgage loans and expands homeownership opportunities by enabling people to purchase homes with less than 20% down payments. It also facilitates the sale of low down payment and other mortgage loans in the secondary mortgage market, including to the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac).
In addition to mortgage insurance, MGIC provides lenders with various underwriting and other services and products related to home mortgage lending.
The company is based in Milwaukee, Wisconsin, where it was founded in 1957 by Max Karl.
On February 6, 2007 it was announced that MGIC will merge with competitor Radian Group forming a new company called "MGIC Radian Financial Group".
MGIC has announced that mortgage insurance premiums are now tax deductible as a result of a bill that President Bush signed in 2007. To qualify for this 100% deduction, the household must have an adjusted gross income of $100,000 or less and the purchase and refinance loans must be closed on or after January 1, 2007.
