Find Out How YOU Can Save Money By Lowering Your Mortgage Payment! PMI (Private Mortgage Insurance) What NOBODY Tells You.
If YOU are appealing Your Allegheny County reassessment, MAKE SURE to get a Certified Appraisal!!
April 1, 2013 last day to file for appeal.
Allegheny County winding down property reassessment
"The best way to win an assessment appeal hearing is with a certified appraisal."
-- John Weinstein, Allegheny County Treasurer - Source: KDKA Apr.26, 2002 6:06 pm
Updated: April 12, 2013
CERTIFIED APPRAISERS WANTED!!
Ground floor opportunity available. Growing appraisal office looking for real estate appraisers interested in wanting their own territories close to home.
Updated: August 30, 2013
30 yr fixed mtg 4.38% +
30 yr FHA mtg 3.93% -
30 yr fixed Jumbo 4.45% =
15 yr fixed mtg 3.42% +
3/1 ARM mtg 4.05% =
Courtesy of Bankrate.com
Updated: November 29, 2013
Find Out How YOU Can Save Money
By Lowering Your Mortgage Payment!
PMI (Private Mortgage Insurance)
What NOBODY Tells You.
What is PMI Insurance?
Private Mortgage Insurance or PMI as it is more commonly known, is a mandatory insurance policy that is added to some borrowers monthly mortgage payments. This policy is in the event that the borrowers were to default on the loan. This protects the investors and or mortgage lenders on their investment so that the remainder on the mortgage note would be covered and the loan would be paid in full. This is not to say however, that the borrower will be forgiven for defaulting.
Who Is Required To Have PMI Insurance?
Most new homeowners have to pay this added monthly cost. This is because any borrower who put less than 20% down (in some few cases more (check your loan documents) on their home when they purchased it or any borrower who has less than 20% equity in their home probably is still paying the private mortgage insurance policy.
How Would This Affect Me?
Few homeowners realize over the years, that as they pay down their mortgage, generally appreciation in the property increases. The two in concert together create a larger equity jump than someone may anticipate. With this being the case, many homeowners will pay this premium well beyond the time frame needed. This leads to an unnecessary monthly expense that is expensive and unwarranted.
How Do I Find Out Whether Or Not I Have PMI Insurance?
Your monthly statement should indicate your payment. If not, you need to contact your lender to see whether or not your PMI payment may be hidden in the escrow account of your loan. (From personal experiences in the real estate industry, I have found that nobody comes beating down your door to tell you, it's possible you may have in excess of 20% equity in your home. And by the way we would like to remove your policy payment, although steps have been taken to try to change this in our Government).
How Can I Remove PMI Insurance?
This is the easy part. A lender will take many factors into consideration. Some of these will include the borrowers past payment history on their loan. This factor alone (in some few cases) may deter a borrower from being granted the request to drop PMI Insurance. It is best to check with your lender first before going any further if there may be any questions.
The lender has been given suggested guidelines for PMI removal from the lending bodies. They generally like to see at least 2 years of ownership with 20% minimum equity or less than 2 years ownership 25% minimum equity. This information should be obtained directly from the lender when inquiring about the possibility of having the PMI Insurance dropped from a mortgage payment.
In most States the lender will require the borrower to attain the services of a State Certified real estate appraiser to perform an appraisal of their property on Form 1004. After the appraisal is completed the borrower then delivers the appraisal to his/her lender for review.
After review of the appraisal and the borrowers past credit history the lender then contacts the borrower with their findings. Removal of the PMI Insurance premium from the mortgage payment will reduce the borrowers monthly payment.
For loans made after July 1999, lenders are required by federal law to automatically cancel PMI when the loan balance falls below 78 percent of the purchase price — not when the homeowner achieves 22 percent equity, which will happen much more quickly with property values going up as quickly as they do. Homeowners, though have the right to cancel PMI (for loans made after July 1999) once their equity reaches 20 percent, irrespective of the original purchase price. Additional information is available on HUD's website, including contacts for complaints against your lender. HUD's website (Please let us know if this link expires, Thank You!)
What if I'm Not Sure I have at Least 20% Equity in My Home?
We here at Bostedo Appraisal Services can help You determine the right course of action to be taken. With information You supply us, we can consult You over the phone as to whether or not it would be advisable to have a full appraisal done on Your property. Our initial consultation is free and with no obligation to help You determine the right path.
To order an appraisal or to find out if You may have enough equity in Your property (click here), please fill out as much information as possible on our order page and click the "SUBMIT ORDER" button at the bottom of the form. We will be in contact with You shortly to confirm the order and to get any additional information that may be needed.
The only fees required would be for a full appraisal of Your property if after consultation it were deemed warranted. If after consultation You feel You want to proceed with the process of removing Your PMI Insurance premium from Your mortgage payment we offer Quick Turnaround and Quality Services that any client would appreciate.
Below is the Public Law 105-216 that was enacted by congress in regards to PMI Insurance. The file is in .pdf format. If you do not have Adobe Acrobat or Adobe Acrobat Reader installed on your computer, the link below will direct you where to get it.
***THIS IS WHAT THE FEDERAL TRADE*** COMMISSION SAYS!
Chicago Fed's Advisory Services
Private Mortgage Insurance (PMI): Law Requires Lenders to Cancel PMI
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