The Puget Sound's housing market has climbed in value tremendously over the past few years. This increase in equity can be utilized to lower your monthly payment. The Home Owner Protection act became effective July 29, 1999. It requires leaders to notify borrowers that they may qualify to remove their private mortgage insurance.
Once a home owner has 20% equity in the value of their house, PMI payments can be eliminated. If you received a loan before July 29, 1999, you must request cancellation.
Contact you lender and request information on their requirements to remove private mortgage insurance. Typically an appraisal must be completed by a state certified appraiser and forwarded to your lender. It is not necessary to redo your current loan. Once you send an appraisal to your lender showing 20% or more equity in your property, your payment will be decreased by the private mortgage amount - usually $75 to $100 a month. The cost of the appraisal can usually be recouped with in four to six months.
Order off this web site and receive $50 off any appraisal.