At 3.5% fixed 30 year, any other way around this?? Thanks again guys
sold new for 504K 9 yrs ago, got it for 210K 1.5 yrs ago worth 284K nowWhat's your LTV? Value is likely fixed at the value of the home when you took the loan out. When did you get the loan? What percent did you put down?
You should speak to a mortgage broker. They will know the ins and outs of this.
Good question for a mortgage broker not a boating forum Good luck with it though.
i'm kinda of in the same position, but we have done some improvements ($8k of fencing, new roof, covered patio [big one] and a pool).
Would getting a new appraisal to the bank work?
I think Bruce is right, doesn't really matter what it's worth. It's principle vs. the loan value ...What was the value when you got the loan? That is what they go by on FHA.
I wouldn't be looking for a new loan, just getting an appraisal and taking to my current lender to get rid of my $70/mth PMI. I'll call them.
At 3.5% fixed 30 year, any other way around this?? Thanks again guys
That's pretty much true of any insurance. If there wasn't PMI, you wouldn't be able to get a loan with less than 20% down.The part I seriously hate about PMI is the fact that you pay the premiums but get zero benefits from it.
sold new for 504K 9 yrs ago, got it for 210K 1.5 yrs ago worth 284K now
Before or after June 3, 2013?
You need to read this:
FHA Requirements: Mortgage Insurance?
You were probably told all of this in your loan documents that you signed. Go back and review them. It will spell out the MIP rules.
Hopefully, you got your loan before that date of June 3 , 2013. If not, you should refi if your current LTV is better than 80%.
Someone told you 3 years to go because 5 years was the earliest you can get rid of MIP under the old rules. Of course you also have to meet the 78% LTV.
Backing out the numbers, if you need 34K to get to 78% LTV means your principal is probably around 197K right? If this is the case, your current LTV is around 70% assuming 284K current value. Are there some good comps to support that value? I don't think that helps you with the FHA but it does mean you can refi into a conventional loan with no PMI. I would seriously consider doing that even if the interest is higher. 2 reasons...MIP is not deductible as far as I know and your total payment may be actually lower, especially after taxes.
I have a good mortgage broker where you can get no cost loans if you are interested. PM me if you want the name/number. I have done 3 loans with him. He is located in San Diego and everything is done remotely.