Qualified Mortgage Insurance Premium

DEFINITION of 'Qualified Mortgage Insurance Premium'

Premium paid by homeowners on mortgage insurance for FHA loans that can be deducted in the same manner as home mortgage interest. Qualified mortgage-insurance premiums can be deducted in addition to allowable mortgage interest for up to three years. In order to qualify, the mortgage must have been originated after 2006.

BREAKING DOWN 'Qualified Mortgage Insurance Premium'

The amount you can deduct is reduced by 10% for every $1,000 ($500 if your filing status is married filing separately) by which your adjusted gross income exceeds $100,000 ($50,000 if your filing status is married filing separately).

To learn more about mortgage insurance, check out What's the difference between private mortgage insurance (PMI) and mortgage insurance premium (MIP)?

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