WASHINGTON — Seth Appleton, President of U.S. Mortgage Insurers (USMI), today released the following statement in recognition of Tax Day: 

“President Trump and Congress delivered a tremendous win for hardworking families across the country by reinstating and making permanent the mortgage insurance (MI) premium tax deduction as part of the Working Families Tax Cuts Act. Because of their efforts, beginning with tax year 2026, millions of hard-working American homeowners could receive meaningful tax relief without increasing risk in the housing finance system.” 

“It’s not the first time that first-time and working-class homebuyers have benefited from changes to the tax code made by President Trump and Congress. When the Tax Cuts and Jobs Act was signed into law during the President’s first term, the private MI industry passed along savings from lower corporate tax rates directly to homebuyers. Since then, private MI premium rates have decreased by 25% based on in-force premium yields – making homeownership even more affordable for American families.”  

For Background: 

• Data from U.S. Mortgage Insurers show that the private MI industry helped nearly 800,000 borrowers secure mortgage financing in the past year alone. First-time homebuyers represented approximately 65% of purchasers with private MI.  

• During the time in which the MI premium deduction was previously in effect (from 2007-2021):  

• • The MI premium deduction was claimed 44 million times, representing a combined $65 billion in deductions for hardworking Americans. 

• • On average, 3.4 million homeowners claimed the deduction each year. 

• • During tax year 2021, the last year the deduction was available, the average deduction amount was $2,346 per qualified taxpayer. 

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U.S. Mortgage Insurers (USMI) is dedicated to a housing finance system backed by private capital that enables access to housing finance for borrowers while protecting taxpayers. Mortgage insurance offers an effective way to make mortgage credit available to more people. USMI is ready to help build the future of homeownership. Learn more at www.usmi.org. 

Cost of Private MI, the Most Powerful Financial Tool for Low Down Payment Homebuyers, Also Declined 25% in Recent Years As Measured by In-Force Premium Yields

WASHINGTON — U.S. Mortgage Insurers (USMI), the association representing the nation’s leading private mortgage insurance (MI) companies, released new data showing that in the five-year period between 2020 and 2024, private MI collectively saved American homebuyers more than $258 billion in down payments due at closing, enabling the American Dream for millions of first-time and working-class homebuyers with as little as three percent down, compared to a larger 20% down payment.

For nearly 70 years, the private MI industry has supported access to affordable homeownership for borrowers without large down payments, allowing them to come to the closing table with tens of thousands of dollars less in cash on average and allowing them to access homeownership decades sooner. USMI’s analysis examined the number of homeowners using private MI, average loan amount, and typical down payment for borrowers using loans with private mortgage insurance in each state between 2020-2024 to estimate a total overall savings generated of $258.1 billion during that period.

USMI’s “50 States of Low Down Payment Homebuying” report, released last summer, found that on average, it could take 26 years for a household earning the national median income in 2024 to save 20% plus closing costs for a home at the median national sales price of $412,500. However, with the help of private MI, that time decreases by 65% to purchase a home with 5% down.

“As we mark America’s 250^th birthday this year, our data show that private MI saved Americans over $250 billion in cash due at the closing table in just five years alone, making homeownership more affordable and allowing Americans to become homeowners years sooner,” said Seth Appleton, president of USMI. “Private MI is a powerful financial tool that saves prospective homeowners tens of thousands of dollars at closing, and, as an added benefit, eligible homeowners can once again deduct MI premiums from their taxes thanks to the One Big Beautiful Bill Act.”

Starting in tax year 2026, qualifying low down payment homebuyers will once again be able to deduct mortgage insurance premiums on their federal taxes, providing new homebuyers with even more benefits. In 2021, the last year this deduction was previously available, 1.3 million homeowners claimed this deduction, for an average of nearly $2,400 per household.

In addition, private MI premium rates have decreased by 25% since 2017 based on publicly reported in-force premium yields, driven by the increased use of dynamic risk-based pricing and savings passed along to borrowers from the reduced corporate tax rates delivered by the Tax Cuts and Jobs Act signed into law during President Trump’s first term. This trend stands in stark contrast to other costs associated with homeownership, including homeowners insurance premium rates and utility rates.

Prospective homebuyers interested in how private MI can help them save money and achieve the American Dream sooner can learn more at LowDownPaymentFacts.com.

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U.S. Mortgage Insurers (USMI) is dedicated to a housing finance system backed by private capital that enables access to housing finance for borrowers while protecting taxpayers. Mortgage insurance offers an effective way to make mortgage credit available to more people. USMI is ready to help build the future of homeownership. Learn more at www.usmi.org.

On February 6, 2026, USMI submitted a letter to Speaker Johnson and Leader Jefferies in support of the Housing for the 21st Century Act. USMI urges quick passage of the bill by the U.S. House of Representatives and commends the leadership of the House Financial Services Committee in advancing this important bipartisan legislation. USMI appreciates Congress’ and the Administration’s focus on increasing the nation’s housing stock and helping Americans become homeowners while ensuring safety and soundness in the housing finance system. For the full letter, see here.

On September 25, 2025, USMI and its member companies provided feedback on the U.S. Federal Housing’s (FHFA) Notice of Proposed Rulemaking (NPR) repealing its “Fair Lending, Fair Housing, and Equitable Housing Finance Plans” regulation. USMI strongly supports FHFA’s work to reduce unnecessary regulatory burdens and believes FHFA’s proposal to repeal this regulation aligns with this work. USMI’s members are key partners to the GSEs, and we look forward to continued collaboration in helping low down payment borrowers affordably and sustainably achieve homeownership sooner in the conventional market. Read the full letter here.

USMI sent a letter to Senate Committee on Finance Chairman Mike Crapo (R-ID) and Ranking Member Ron Wyden (D-OR) expressing strong support for the Honorable Jonathan McKernan to serve as the next Under Secretary for Domestic Finance at the U.S. Department of the Treasury. USMI urges the Committee to swiftly advance Mr. McKernan’s nomination to the full Senate for a confirmation vote. Read the full letter here.