tom@felix.UUCP (Tom Lockwood) (10/31/85)
In article <1055@qumix.UUCP> len@qumix.UUCP (Leonard Labar) writes: >lender they said that California didn't have such a law. In essence >they said I would always have to pay the PMI. Has anyone else had >experience with this? I've considered waiting a year, getting a >written appraisal and submitting it with a certified letter to the head >office. Is it still worth my trying? When I had my FHA loan, the office which got me the loan informed me that after a few years, I could write the lender and request that they cancel the PMI insurance. It will be completely up to them. It costs them nothing and they have insurance that your loan would be covered should you default. If you have a good payment track record and the value of the property goes up (by some undisclosed amount), they may cancel it. I sold recently and didn't write though. My cousin in Massachusetts, bought his home 9 years ago and the lender required PMI because he was under 25 years old. When he was 27, he realized that he was still paying it and notified the bank. All the payments made after his 25th birthday were refunded and PMI canceled. So write your lender, it could save you some money.