Posted on: 22nd Oct, 2010 06:40 pm
i have a friend that is trying to refinance. the company said that they are going to roll a one time pmi fee of $6000 into the loan. the loan is for $435,000 and monthly is $2200 for principal and interest and pmi. they were told that the monthly payment would stay the same for the duration of the loan. is this possible? shouldn't the payment drop once they have 20% equity in the loan. is it possible for a one time payment to cover all of the pmi fees for the duration of the loan?
Hi Marie,
Once your friend has 20% equity in your property, then he or she will be able to drop the PMI. In that case, the payment will be changed.
Thanks
Once your friend has 20% equity in your property, then he or she will be able to drop the PMI. In that case, the payment will be changed.
Thanks