re: Home Mortgage Questions

I locked in a rate of 3.875 with 5% down on a $225k purchase price and "no pmi" a couple weeks ago. Basically it's lender paid PMI. The rate would have been 3.625 with a monthly PMI of about $100 otherwise. This is a conventional loan, and other than the rate increase there was no additional cost. I was happy with the $60 something dollars in monthly savings, and while PMI could have eventually be removed down the road, I probably won't be there long enough for this to have come into play. I have enough to put down 20% but don't see the value in that personally.