PMI is waived once 20% of principal is paid. I owe $142k on my home. Original purchase price was $169.5k. New appraisal just came in from the appraisal district at $221k. Current mortgage is 2.875% on 15 year fixed.

So I think I can answer my own question here but should I be calling my mortgage company to get PMI removed from monthly payments ?

Thanks as always guys

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Posted by HoustonTiger2008

Member since Feb 2015

631 posts

Posted on 5/13/15 at 10:38 pm to Teauxler

Nope. The "equity" you gain from your house appreciating does not count towards your 20% in this instance. I looked into the same thing last year. Convenient how that works.

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Posted by Teauxler

Baton Rouge

Member since Jan 2010

3291 posts

Posted on 5/13/15 at 10:43 pm to HoustonTiger2008

Well F me in the goats arse !!

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Posted by MrSweets

Baton Rouge

Member since May 2015

57 posts

Posted on 5/13/15 at 10:58 pm to Teauxler

you can refi to get rid of it.

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Posted by seawolf06

Member since Oct 2007

8159 posts

Posted on 5/14/15 at 8:06 am to MrSweets

quote:
you can refi to get rid of it.

This is likely the answer. I read the fine print on my mortgage and PMI could not be removed until 20% of the original loan amount was paid off.

I would call the servicer and tell them to either take it off or you would refinance the loan with someone else.

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Posted by anc

Member since Nov 2012

18061 posts

Posted on 5/14/15 at 8:54 am to Teauxler

The best thing to do is wait it out. You are a year away from hitting the 80% LTV. Your interest rate is too good to refinance, and you would have to pay closing costs that equal about half of what you could just pay to get to 80%.

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Posted by RebelOP

Misty Mountain Top

Member since Jun 2013

12478 posts

Posted on 5/14/15 at 8:55 am to anc

quote:
The best thing to do is wait it out. You are a year away from hitting the 80% LTV. Your interest rate is too good to refinance, and you would have to pay closing costs that equal about half of what you could just pay to get to 80%.

Yup

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