Tim asked in Business & FinanceInsurance · 7 years ago

When should my mortgage insurance premium expire?

I have a 15-year FHA mortgage that was initiated in December of 2011. My Loan to Value (LTV) recently fell below 78%. According to what I've read here (http://www.fha.com/fha_requirements_mortgage_insur... and here (http://themortgagereports.com/7570/fha-mip-cancel)... my creditor should have stopped paying MIP to the FHA when my LTV reached 78% regardless of the time elapsed since the mortgage inception, but they kept paying it. When I called to ask them about it, they said that since my original LTV was above 90% there was a minimum 4-year MIP requirement. I can't find anything online about this. Is this true?

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  • ?
    Lv 6
    7 years ago
    Favorite Answer

    It is not true. The link below is from HUD's FHA FAQ website that clearly says for FHA loans of 15 years or less that were originated between Jan 1, 2001 and June 2, 2013 there is no minimum period that MIP must be paid. You need to submit your request in writing to your lender and they can refuse your request if any of your payments have been more than 30 days late in the past 12 months.

    http://portalapps.hud.gov/FHAFAQ/controllerServlet...

    Source(s): Licensed Loan Officer in Ohio
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  • BBG
    Lv 7
    7 years ago

    It was not true for me (but that was a long time ago).

    But I DID have to pay for an appraisal to "prove" the LTV was below 80%. At that point in time I opted to re-fi. My new lender paid for the appraisal, I got a lower interest rate and I kicked that mortgage insurance to the curb.

    Sorry, I realize I was no help in actually answering your question. :-)

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  • 7 years ago

    True.

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