– Here is what I mean, it stated it you have a mortgage that is 15 years or less and the loan to value ratio of 90% and greater, the mortgage insurance premium will be terminated when the loan to value reaches 78%, irrespective of the length of time the borrower has paid the mortgage insurance premium.
What I wish I knew about money and business in my 20s – In addition, the power of insurance. you are able to pay a lot of money in rent does not mean that that is what you should do. Maybe you should find a mortgage where you will be paying that amount.
If your new loan is more than 80% of the home’s appraised value, you will have to pay private mortgage insurance (PMI). PMI is different in that it should be far less costly than the FHA MI you have been paying and-most important-you CAN drop PMI once you can show that the present value of your property gives you an 80% loan to value ratio.
Private Mortgage Insurance (PMI) – (a) A lender that requires a borrower to purchase mortgage guaranty insurance shall provide annually to the borrower a copy of the following written notice printed in at least 10-point bold-face type: "NOTICE OF RIGHT TO CANCEL PRIVATE MORTGAGE INSURANCE: If you currently pay private mortgage insurance premiums, you may have the right to cancel.