Getting rid of home mortgage insurance? - Non-Wakeboarding Discussion

(helinut) · (helinut) **Join Date: Apr 2007** 03-09-2010, 7:44 AM

So what does it take to get this off of my mortgage? I believe I read that all you need to do is have your place appraised again, but then what? Do you send that to your lender? Do you request them to appraise it?

Looking to save some bucks, since the market has come back a little here and I'm well under 80% L to V.

Thanks!

(psudy) · (psudy) **Join Date: Dec 2003** 03-09-2010, 8:24 AM

Contact your lender and have them reappraise it. They must initiate it . PMI should automatically fall off after the home hits 78% LTV. If you are at or below 80% LTV off your purchase appraisal, you should be able to call them and just have it removed without an appraisal.

(brettw) · (brettw) **Join Date: Jul 2007** 03-09-2010, 9:11 AM

You might check around and consider doing a refi as well, depending on what your rate is. That's what I did way back in the day when I bought my 1st condo. I remember getting the mortgage insurance dropped and the rate by a % or 2.

(psudy) · (psudy) **Join Date: Dec 2003** 03-09-2010, 9:16 AM

Good thought Brett. 30year rate today is 5.0% with no points. If your paying much more than 6.0 it would be a good time to consider it(rule of thumb is to save at least a point to make it worthwhile).

(helinut) · (helinut) **Join Date: Apr 2007** 03-09-2010, 10:29 AM

We've considered doing a refi since we are at 6.25% but we are also thinking of selling in a year or two. The refi wouldn't pay out unless we were sticking around for another 3 years. They want upwards of $4k for the paperwork.

Thanks for the info. I appreciate it.

(helinut) · (helinut) **Join Date: Apr 2007** 03-09-2010, 10:45 AM

Quote:

Originally Posted by helinut

We've considered doing a refi since we are at 6.25% but we are also thinking of selling in a year or two. The refi wouldn't pay out unless we were sticking around for another 3 years. They want upwards of $4k for the paperwork.

Thanks for the info. I appreciate it.

Now that I think about it though, we have lender paid mortgage insurance built in to the loan. So to get rid of it, we'd have to refi. Well heck. The somewhat nice thing is we could switch it to a 15 year and only pay $200 more a month. Hmm...

(psudy) · (psudy) **Join Date: Dec 2003** 03-09-2010, 11:56 AM

Not sure how much your mortgage is, but if that 4K doesn't include escrow and say your mortgage amount is around 250K, you're getting ripped.Unless that includes points to buy down the rate.

(nsolis220) · (nsolis220) **Join Date: May 2007** 03-09-2010, 12:26 PM

I sent you a PM

(sdub) · (sdub) **Join Date: Jan 2003** 03-09-2010, 1:46 PM

a thought about going to a 15yr.....I know you get a better rate on a 15 vs 30 mort. but for me I have always went with the 30yr and paid it like a 15 yr. that way, if money gets tight, or you need to buy a new boat, you have some flexibility and are not locked into a larger monthly payment.