Answers (9)
- Jeff Rainwater, "jrainwater"
- Contributions:200
once you go over 80% loan to value ratio, you can stop paying PMI but until then, yeeeup.
who in the world do you all use to refi a harp with MI? That program is suppose to come out in the middle of the third quarter.
- Rick G, "Equity Lender"
- Contributions:80
With the new making home affordable plan, you can refinance up to 105% of the value of your home. If you currently pay MI with you loan, you will still have it on the new one. If you do not have MI, then you will not have it on the new loan.
It's possible you may have LPMI or lender paid mortgage insurance. This is not allowed under the new program.
You can visit www.makinghomeaffordable.gov for more information.
It's possible you may have LPMI or lender paid mortgage insurance. This is not allowed under the new program.
You can visit www.makinghomeaffordable.gov for more information.
- Stephen Ching, "Edmonds WA"
- Contributions:229
Traditional refinances over 80% loan to value have not changed. You will need MI or MI buyout.
To my knowledge, MHA refinances with MI are not being closed. The MI companies are not insuring the new loans due to high risk.
- Michael Reahl, "Mr Loan Modification"
- Contributions:91
It's up to the bank your do your refinance with.
- Steve Felty, "SteveFelty"
- Contributions:405
The MI determination cor MHA is whether or not you are currently paying MI. If you do not have MI now, and refi to 105% LTV, you will not be required to pay MI on the new loan.
To the best of my knowledege, Yes. However there are other factors to evaluate.
A question to consider is: If you do need to pay PMI to refinace, will the added monthly expense still make the refince cost effective? And If so...
A second question to ask is what would the break even point be for the refi... here's an example, if the refi saves you $150 per month and the costs for the refi are $1,500, your break even point would be 10 months.
If you plan to live in the home for say 5 years, given the above secnario, even with the added PMI expense, you'll end up saving money in the long term.
A question to consider is: If you do need to pay PMI to refinace, will the added monthly expense still make the refince cost effective? And If so...
A second question to ask is what would the break even point be for the refi... here's an example, if the refi saves you $150 per month and the costs for the refi are $1,500, your break even point would be 10 months.
If you plan to live in the home for say 5 years, given the above secnario, even with the added PMI expense, you'll end up saving money in the long term.
- homer j
- Contributions:29
I believe the answer is less unless you originally did not owe PMI and are now refinancing under the Home Affordable plan.
Do you still have to purchase mortgage insurance if refi'ing when you owe 80-105% of the mortgage?
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