MU Extension MU Extension       University of Missouri    ●    Columbia    ●    Kansas City       Rolla     ●    St. Louis

MissouriFamilies.org - Money Matters - Consumer Action

 

Finance Quick Answers

 

 

How do I get rid of my Private Mortgage Insurance (PMI)?


Homeowners, you may have one less bill to pay relating to your home. Getting rid of Private Mortgage Insurance (PMI) expense should be easier. One million homeowners now pay from $200 to $600 each year in unnecessary PMI premiums.
 

Congressional legislation went into effect July 1, 1999 requiring automatic termination of PMI when the homeowners has paid at least 20% of the home’s value for loans made after July 29, 1999. High risk borrowers (with poor credit) may have to make PMI payments until they reach 50% equity.
 

To remove PMI now: you may have to pay $150 to $400 for a new appraisal to prove your case. Contact your lender for details on how to take advantage of this Mortgage Cost Break.

 

 

 

Written by:
Sandra McKinnon, Consumer & Family Economics Specialist, University of Missouri Extension

Cynthia E. Crawford, Ph.D., Consumer & Family Economics Specialist, University of Missouri Extension

 

 

 

 

 

 

 

 

 

 

 

 

Can't Find Your Question Here? Try Searching Our Quick Answer Knowledge Base

Last update: Monday, July 28, 2008

 

 

 


 
University of Missouri logo links to http://extension.missouri.edu

Site Administrator:
mofamweb@missouri.edu 
Copyright  ADA  Equal Opportunity


MissouriFamilies is produced by the College of Human Environmental Sciences,
Extension Division, University of Missouri-Columbia