Updated almost 6 years ago on . Most recent reply
Getting PMI removed
What's the process of getting PMI removed if I now have 20% in equity? Who I contact first?
Most Popular Reply
@Robert Richardson see below link that explains the new rules on this, but with a down payment under 10% on FHA, it looks like you are stuck with MIP.
http://www.fhahandbook.com/blog/do-fha-loans-require-pmi/
Before you rush to refinance, do the math and see how the numbers compare. You want to consider the new interest rate and closing costs on the refinance to understand if you are coming out ahead. You may get rid of MIP and end up paying more in the long run.
Of course keep in mind that a banker gets paid for every loan they write, so they will suggest you refinance. Just make sure your payment decrease isn't just because they stretched the term back out.