Tired of Paying PMI?
PMI is the acronym for Private Mortgage Insurance.
If you plan to purchase your home with a down payment under 20%–or already have– your mortgage carries this additional cost. Depending on the price of your home, PMI can add up to a significant amount pretty quickly.
If you have more than 20% equity in your home, you may qualify to have your PMI removed.
We’ll provide your lender with verifiable proof of your home’s current value, so you keep more of your money.
Over 15 million Americans have been able to purchase homes because of mortgage insurance making up for the down payment difference. Homes purchased with a down payment of at least 20% have enough equity to cover any potential losses by the lender, so PMI is not required.
Under the Homeowner’s Protection Act (HPA) of 1998 you have the right to request cancellation of PMI when you pay down your mortgage to the point that it equals 80 percent of the original purchase price or appraised value of your home at the time the loan was obtained, whichever is less.Under the HPA, mortgage lenders or servicers must automatically cancel PMI coverage on most loans, once you pay down your mortgage to 78 percent of the value if you are current on your loan.
If the loan is delinquent on the date of automatic termination, the lender must terminate the coverage as soon thereafter as the loan becomes current. Most lenders require an appraisal by a state certified appraiser as proof of value in order to eliminate Private Mortgage Insurance.
Carrying PMI once it’s no longer needed decreases the money available for other household concerns. We offer a specific service for home owners that have met the 80% loan-to-value metric. For a nominal fee, we can provide you with a detailed statement of your home’s current value.
Ready to remove your private mortgage insurance and keep more of your money? Contact us today for an appraisal quote!