Triad Guaranty Applauds Passage of an Extended Mortgage Insurance Tax Deduction Bill

WINSTON-SALEM, N.C., Dec. 19 /PRNewswire-FirstCall/ — Triad Guaranty Inc. applauded Congressional passage of new legislation that will allow low-and moderate-income homebuyers and homeowners to continue to deduct mortgage insurance premiums from their federal income tax returns. The new legislation, which President Bush is expected to sign, extends this deduction to loans closed in 2007 through 2010. The previous law was to expire at the end of 2007.

The legislation amends the Federal Income Tax Code to allow all homebuyers, with adjusted gross incomes below $100,000, to deduct 100% of their mortgage insurance premium costs. The deductions phase out on income levels between $100,000 and $109,000. “Private mortgage insurance exists to help home buyers of all economic levels qualify for mortgages with low down payments,” said Mark K. Tonnesen, President and CEO of Triad Guaranty Insurance Corporation.

“It is an important tool to encourage homeownership and support home sales nationally. Continuing this tax deduction creates real savings for low and moderate income buyers, and makes mortgage insurance an even more attractive alternative.” Triad Guaranty Inc.’s wholly owned subsidiaries, Triad Guaranty Insurance Corporation and Triad Guaranty Insurance Corporation Canada are mortgage insurers providing credit enhancement solutions to their lender customers and the capital markets.

This allows buyers to achieve homeownership sooner, facilitates the sale of mortgage loans in the secondary market and protects lenders from credit default-related expenses. For more information, please visit the company’s web site at www.triadguaranty.com.