Home Loan Modification - Private Mortgage Insurance Question?
Doon asked:
I have a mortgage with BOFA. Due to circumstances beyond my control (job loss) I called about a loan modification. I do not qualify for the refinance as I am underwater on the mortgage. I was told I don’t qualify for a modification because my mortgage has ‘lender paid’ PMI. This caught me by surprise…Now I know that if you have PMI you can’t qualify for a modification, but I’d never heard of lender paid PMI. I researched my loan docs, and I see no reference to it. Is this a legit? Can someone lend me their wisdom? Thanks!!
Michelle
I have a mortgage with BOFA. Due to circumstances beyond my control (job loss) I called about a loan modification. I do not qualify for the refinance as I am underwater on the mortgage. I was told I don’t qualify for a modification because my mortgage has ‘lender paid’ PMI. This caught me by surprise…Now I know that if you have PMI you can’t qualify for a modification, but I’d never heard of lender paid PMI. I researched my loan docs, and I see no reference to it. Is this a legit? Can someone lend me their wisdom? Thanks!!
Michelle
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2 Responses to “Home Loan Modification - Private Mortgage Insurance Question?”
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Betty
When you got the loan, did you pay a higher rate of interest than one with borrower paid pmi or someone who did not need to pay pmi at all? You are probably paying a higher rate of interest and then the bank pays the pmi.
Carol
homeinsurance.awardspace.us - try this one. Got my home insurance from them. As I know they provide such a service.