How to get rid of PMI???

[momofslg]

When we financed our house we didn't have the 20% down. We have Private Mortgage Insurance. I got out our county tax assessment and figured out that what we owe verses what the assessment value is that we are finally at 20% equity.
How do I go about getting rid of PMI? I don't want to have to refinance at 30yr, I just want to get rid of the pmi. Our mortgage is with Wells Fargo if that helps.

[stinkbug]

You'll need to have your home reassesed by a qualified appraiser for your area. Then have your mortgage company review that...if you have 20% equity according to current market value, they will drop your PMI. It shouldn't effect the length of your loan...the PMI should just drop off. They will not go by a tax assessment, as far as I know. The best thing to do is call your lender and see what their requirement is.

[miaumiau]

My lender is also Wells Fargo, and I have one more payment (which is scheduled next week) to reach 80% LTV.

I read my contract with the lender, it states PMI can be removed with the following conditions:
1)PMI can't be dropped within the first 13 months even the loan has reached 80% LTV;
2) If the borrower thinks 20% equity has been reached before the set date, a lender appraiser can be requested (around $500) and the report will be reviewed by the lender;

I'm not sure if I need to order a lender appraisal if I fulfill the two: 1) 13 month length of time before removing PMI; 2) 80% LTV to county appraised value.

I guess I will have to call the lender once the next payment goes thru. Can't wait to get it away, then I will be able to apply extra $69/month to my cc debt.

Also, if you have registered with Wells Fargo's website to view your account details, you can click into escrow info in the summary section, and screw all the way down to the bottom where the PMI section is. It will show the bank computerized LTV%. So that might help you to have an idea what their assumed LTV you're having.

[miaumiau]

Here's an update~~~

As soon as my online payment went thru with Wells Fargo, which drop my LVI to 79.8%, I gave their Home Mortgage Department a call the same day to remove my PMI.

It was unbelievable easy as it only took me around 5 min. on the phone with a representative. She not only dropped the PMI for me just like that, and gave me a new loan monthly payment estimate for next month, but also reimburse me the amount held in escrow account for PMI.

Great work, Wells Fargo!!

[Becka3]

wow- that is amazing- i was just wondering how to do this! we have Wells Fargo Also... I may give them a call!
so you need 20 percent equity?

[miaumiau]

....
so you need 20 percent equity?

Yes, 80% Loan To Value = 20% equity (using their appraised value on your house).
Your online account summary will show the percentage of LTV you're in right now.

[Becka3]

well I called cause even though i signed up on line I couldnt find it but our PMI is for 5 years at the least and our LVR is at 91 percent right now. but by the time june 2010 rolls around we should be pretty close to getting rid of it

[miaumiau]

well I called cause even though i signed up on line I couldnt find it but our PMI is for 5 years at the least and our LVR is at 91 percent right now. but by the time june 2010 rolls around we should be pretty close to getting rid of it

When you login online, click into your mortgage account, then it should bring you to the account activity page where it displays the payment amount due, last payment made, the outstanding balance....etc, also with all the transaction details in the past 6 months in the bottom of the page.

Look at the account profile section, which looks like this:

Next payment DUE ON 05/01/08 (Make a Payment)
Last payment received on 03/18/08
Outstanding principal balance (View Payoff Statement)
Interest rate X.XX%
Escrow balance (taxes & insurance) [Escrow Details]


After click into that blue Escrow Details link, scroll all the way to the bottom. There should be a column named Estimated LTV% under PMI section.