Hilde's Mortgage Blog

Deleting your private mortgage insurance on conventional loans.

After you have been paying your loan balance down and your home's market value may have appreciated over time you feel that your current loan to value in now 80% or less. If you remember, that is the magic cut off where mortgage insurance is no longer required. It may be feasible that you can request your mortgage insurance payments to be dropped. You may need to prove the new value via paying for a new appraisal and your loan payments have to be kept current. Contact your servicer for more details when the time has come. This is just a brief outline.

Private must be canceled when the LTV is scheduled to reach 78% of the property's original value provided that the payments have been made on time. Again, contact your servicer when the time has come for more specific details. Not all loans or property types are affected by these rules.

For the government insured loans, FHA being the only type with monthly insurance premiums, have similar provisions. However, the monthly premium has to be paid for at least five years.

For more information just give me a call.