Streamline the Process of Removing PMI from Your Loan

 

Welcome to Speedy Property Appraisals, your trusted partner for PMI removal appraisals. If you're tired of paying Private Mortgage Insurance (PMI) and want to explore the possibility of removing it from your loan, our professional appraisers can assist you in determining the current value of your property. With our expertise in appraisals and understanding of PMI requirements, we are here to help you navigate the process smoothly.

Understanding PMI and Its Role:
Private Mortgage Insurance (PMI) is typically required for non-conventional loans when the borrower has not met the 20% down payment requirement. However, once the owner of the property has achieved 22% equity in the property and a minimum of 2 years has passed since the loan was initiated, you may be eligible to request PMI removal from your lender. It's important to note that FHA loans always require PMI, regardless of equity.

When Can PMI Be Removed?
There are two primary scenarios in which you can request PMI removal:

1. Increase in Home Value: If the value of your home has increased by 25% over the original loan value due to a rising market, your loan may qualify as a conventional loan, eliminating the need for PMI insurance.

2. Equity Accumulation: If the property value hasn't significantly increased but you have achieved at least 22% equity over two years, you may be eligible for PMI removal.

Do You Need to Refinance?

In some cases, refinancing your property may not be necessary to remove PMI. However, each lending institution has its own policies and procedures. To help you prepare for PMI removal, consider the following actions:

1. Contact Your Lender: Before ordering an appraisal, reach out to your lender to discuss their specific requirements and procedures for PMI removal.

2. Utilize Existing Appraisal: Inquire whether your lender can use the appraisal on file. This may save you the cost of obtaining a new appraisal.

3. Obtain a New Appraisal: If your lender requires a new appraisal, they will typically obtain it through an appraisal management company. Keep in mind that you may be responsible for the appraisal cost.

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Understanding Different Appraisal Types:

Appraisals play a crucial role in determining the value of your property. There are various types of appraisals and scopes of work available, each varying in cost. Some common appraisal types include:

1. Full Interior and Exterior Appraisal: This comprehensive appraisal involves a thorough inspection of both the interior and exterior of the property, providing a detailed assessment of its value.

2. Drive-By Appraisal or Form 2055: In this type of appraisal, the appraiser conducts a limited inspection by driving by your property, taking exterior photos, and gathering information about the condition and upgrades over a phone conversation with you.
    

Not sure which appraisal type is suitable for your needs? Our experienced team is here to help. Contact us or request a free quote, and we will guide you in finding the most effective solution tailored to your unique situation.|
 

Additional Considerations and Assistance:
If you suspect that the appraisal report developed by your bank appraiser is not in your favor, you have options. You can request a Reconsideration of Value (ROV) or consult with a professional appraiser who can help you understand your alternatives and recommend the best course of action based on your circumstances.

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Navigating the PMI removal process can be confusing, but you don't have to do it alone. The knowledgeable team at Speedy Property Appraisals is here to assist you every step of the way. We are dedicated to protecting your interests and investment by providing accurate and reliable appraisals.