Have equity in your home? Want a lower payment? An appraisal from Streich Enterprises, LLC can help you get rid of your PMI.It's widely understood that a 20% down payment is common when buying a house. Since the risk for the lender is often only the difference between the home value and the amount remaining on the loan, the 20% provides a nice cushion against the expenses of foreclosure, selling the home again, and natural value fluctuationsin the event a borrower is unable to pay. The market was taking down payments as low as 10, 5 and often 0 percent in the peak of last decade's mortgage boom. How does a lender endure the increased risk of the small down payment? The solution is Private Mortgage Insurance or PMI. This supplementary policy protects the lender if a borrower defaults on the loan and the market price of the house is less than what is owed on the loan. PMI is costly to a borrower on the grounds that the $40-$50 a month per $100,000 borrowed is bundled into the mortgage payment and oftentimes isn't even tax deductible. Unlike a piggyback loan where the lender takes in all the deficits, PMI is lucrative for the lender because they secure the money, and they get the money if the borrower defaults. 
Does your monthly mortgage payment include PMI? Contact us, you may be able to save money by removing your PMI. How can home owners refrain from bearing the expense of PMI?The Homeowners Protection Act of 1998 requires the lenders on most loans to automatically cancel the PMI when the principal balance of the loan reaches 78 percent of the initial loan amount. The law stipulates that, upon request of the homeowner, the PMI must be released when the principal amount reaches only 80 percent. So, acute homeowners can get off the hook a little earlier. It can take countless years to arrive at the point where the principal is just 20% of the original amount borrowed, so it's necessary to know how your home has appreciated in value. After all, every bit of appreciation you've gained over the years counts towards abolishing PMI. So why should you pay it after the balance of your loan has dropped below the 80% threshold? Even when nationwide trends hint at declining home values, realize that real estate is local. Your neighborhood might not be heeding the national trends and/or your home may have secured equity before things cooled off. A certified, licensed real estate appraiser can help home owners understand just when their home's equity rises above the 20% point, as it's a tough thing to know. As appraisers, it's our job to recognize the market dynamics of our area. At Streich Enterprises, LLC, we're masters at recognizing value trends in Tulsa, Tulsa County and surrounding areas, and we know when property values have risen or declined. Faced with information from an appraiser, the mortgage company will usually eliminate the PMI with little trouble. At which time, the homeowner can retain the savings from that point on.
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