Refinance

If you purchased your home with less than 20% down, chances are you have a loan that is insured by ``Mortgage Insurance'' (MI). Most borrowers are aware that they are paying MI on a monthly basis, but you can check your mortgage statement if you're not sure. As your home appreciates or your loan balance decreases (or a combination of the two), your equity in the home will exceed 20%. At that time a favored method of eliminating the MI tied to the loan is to refinance. The savings of eliminating the MI alone will often warrant refinancing.

Be aware that mortgage lenders value your property at what comparable homes have sold for in the last 6 months, not the price at which they are currently listed. If you are close to that 20% mark, ask your mortgage source to provide you with a ``comp search'' estimate (this service should be available for free) which will give you an idea of how your lender will view your home's value.

FHA Loans

An FHA loan is a loan insured by the government, and the insurance remains with the loan for the duration of the term.  If you believe you have more than 20% equity in your home, you may consider the benefits of refinancing into a conventional mortgage.  A loan officer can determine the monthly savings available to you- click here to apply now without obligation.

New Home Purchase

It is possible to obtain a mortgage loan today and avoid paying the mortgage insurance.  There are several high LTV programs available that do not require mortgage insurance, but a popular alternative (with a possible advantage of an overall lower payment) is obtaining a piggyback loan.  Piggyback loans are first and second mortgage loans also referred to as 80/20, 80/15, and 80/10/10 loan.  The first mortgage is generally an 80% LTV and the second mortgage will range anywhere from 10-20% depending on the amount of money the borrower will use as a down payment. click here to apply now without obligation.