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Interesting.... most complaints over the past 30 days are over lender's not locking in rate. Bank gave you erroneous information and good news is that you are not obligated to proceed with lock. PMI as Eric mentioned would be .59 or less monthly or you could opt for a single premium PMI paid upfront.. I would suggest that you explore another lender as your bank's credibility leaves a lot to be desired.
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For Sale: $1,798,000
For Sale: $948,888
For Sale: $798,000