Mortgage insurance two lenders?

lender number one, one hundred thousand dollar house, loan amount ninety thousand five hundred dollars. Over the phone said mortgage insurance would be five to six hundred dollars.

lender number two, eighty five thousand dollar house and loan amount eighty thousand five hundred dollars, the lenders software spit out mortgage insurance of slightly over two thousand one hundred dollars. If I'm not mistaken these questions do not allow alot of numbers and dollar signs and decimals. Any way one of the two lenders should be wrong.

Tell us everything there is to know about pmi and the question is asked >> here << to get experiences of others not just some article from google search.

Update:

After speaking to two lenders by phone I'll ask a new question about mortgage insurance.

6 Answers

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  • 4 months ago
    Favorite Answer

    Depends on what type of mortgage.. FHA/ Conventional with less than 20% down/ etc. Not enough info..

    Source(s): Mortgage lender 33 years.
  • Eva
    Lv 7
    4 months ago

    PMI has to do with the percentage of equity. The lower the equity the more expensive the PMI. Just putting another 5k down on the 85,000 house could lower the PMI dramatically. Have your lender run some scenarios.

  • 4 months ago

    I used to be a qualified Independent Financial Advisor. I had to do a lot of studying and take a lot of exams to be an IFA.

    I'm not going to "tell you everything" about anything. Do your own research or pay a professional advisor to give you advice.

    And, when you ask a question like that you don't say "tell us everything" you say "please".

  • Judy
    Lv 7
    4 months ago

    Lender #2 might be talking about your house insurance rather than PMI. You'd be putting 15% down, so wouldn't have PMI

    • curtisports2
      Lv 7
      4 months agoReport

      Not true. A lender MIGHT not require PMI with 15% down but I have never seen it. In 1980-81 when interest rates were out of whack, some lenders wouldn't give mortgages at all with 20% down.

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  • 4 months ago

    Get the second lender's quote over the phone, not spit out by software. I find the internet to be highly unreliable and always want to speak to somebody. $2,100 a year for PMI is outlandish and probably a mistake.

  • 4 months ago

    YOU WERE ALREADY TOLD.

    You need to know to make a call each lender and verify. is that per year, until the loan is expected to hit 20% equity?

    I would expect that just like car insurance can vary so can PMI, maybe 1 bank sees you as a higher risk.

    maybe one bank put the numbers in wrong...maybe one didn't account for a down payment (ie put in 0% down instead of 10% down)

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