The reduction from 1.35% to 0.85% will save the typical first time home buyer $900 per year, the White House says.
Premium rate hikes and longer amortization make PMI a better option for consumers.
Sale of jointly owned mortgage insurer will take a while to finalize because of bankruptcy complications of partner firm.
Bermuda-based insurer will operate firm through distribution and reinsurance agreement pending Arizona regulator, other approvals.
The ongoing saga involving PMI Mortgage Insurance and CUNA Mutual Group Mortgage Insurance entered into a new stage on Thanksgiving Eve when the PMI Group, PMI MI's holding company, filed for bankruptcy in federal court.