Reduce Your Private Mortgage Insurance in Providence, RI, and All Over Rhode Island

If you’re buying a home with a down payment of less than 20% of the total purchase price, or if you have a loan-to-value ratio greater than 80%, you probably need to pay for PMI for your lender to feel comfortable lending you money.

Most people want to get rid of PMI as soon as possible because it’s expensive and adds additional monthly payments. Insurance companies require an appraisal to determine the property’s value and ensure that the home is worth more than the loan amount. Once this is determined, the insurance company can remove PMI from your mortgage. At Lyman Brothers Appraisal, LLC, we can guide you through reducing your private mortgage insurance. If you’re in Providence, RI, contact us today.

Learn More About Mortgage Insurance Removal

Private mortgage insurance is required on a home loan when the down payment is less than 20% of the purchase price. This protects the lender if you default on your loan, and the property must be foreclosed upon. In order to remove this insurance, a professional appraisal must be ordered by your lender. The appraisal will determine how much equity you have in the property and how much of an increase in value there has been since you purchased it (if any). This way, if you’re underwater on your loan—meaning that it was worth more when you bought it than it is now—you won’t have to pay for PMI removal.

Take the First Step Toward Your PMI Reduction

The reduction of mortgage insurance is a complex process, but at Lyman Brothers Appraisal, LLC, we’ve got you covered. We’re the best in the area with this service. If you would like to increase your mortgage payment significantly, start this mitigation process as soon as possible. Call today to learn more about our private mortgage insurance in Providence, RI.