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#1023881 - 08/20/08 02:47 PM PMI necessary on a loan work-out/modification
Many Hats Offline
Platinum Poster
Joined: May 2008
Posts: 915
Orlando, FL
We did a 1st mortgage loan a couple years ago and at the time the LTV was < 80%. We are now in a position where we need to do a work-out for the borrower. We are modifying the terms to interest only for 3 years, then P&I for the remaining term.

We had an appraisal done in July and the LTV is now 86%.

Are we required to get PMI, or can the bank waive that?

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Lending Compliance
#1023890 - 08/20/08 02:51 PM Re: PMI necessary on a loan work-out/modification Many Hats
Dan Persfull Offline
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 46,422
Bloomington, IN
PMI is not a regulatory requirement.
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The opinions expressed are mine and they are not to be taken as legal advice.

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