MIP
Also known as Mortgage Insurance Premium
The mortgage insurance required on FHA loans, similar in purpose to PMI but structured differently.
In plain English
MIP is required on FHA loans regardless of down payment size, including both an upfront premium paid at closing and an ongoing monthly premium — and depending on your down payment, it may last for the life of the loan rather than being removable at 20% equity.
Many FHA borrowers eventually refinance to a conventional loan specifically to eliminate MIP once their credit and equity improve.
Where you'll run into it
Guides and tools on TheBuyingPath that cover mip in context.
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