Private Mortgage Insurance (PMI) Removal
To be eligible to drop PMI, you must have at least 20% equity in your home. Equity is built-up through a combination of four primary influences: (1) Paying Down the Mortgage Balance, (2) Home Improvements, (3) Appreciation in Property Values and (4) Inflation.
The Homeowners Protection Act of 1998 (HPA) took effect on July 29, 1999 requiring the automatic termination of Private Mortgage Insurance when the loan is scheduled to reach 78% of the home's original value, and the loan payments are current.
The HPA also provides for borrower initiated cancellation when the mortgage balance reaches 80% of the original value or sales price as of the date the loan was originated. This provision provides benefit to the borrowers who have made additional principle payments. This provision may also benefit homeowners that live in regions that have experienced large increases in property values. (The law does not require lenders to consider appreciation, however many lenders do.)
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For a brief explanation of the facts about Private Mortgage Insurance click here. |
Valyootrends Market Condition Reports are a "Real Value" to those looking to remove Private Mortgage Insurance. View a Sample Report Here
We know value and are dedicated to providing reliable market condition data, unbiased real estate appraisals, appraisal review and broker value opinions to the lending, legal, insurance, and financial services industries.
Our extensive network of Real Estate Appraisal Professionals provides quality appraisal services nationwide. If you need a real estate appraisal, we will provide a seasoned professional who services your local market.
For more information or to discuss your specific PMI Removal needs contact us here or feel free to use our online order system.