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June Said:

Should I go for a 5% down mortgage then?

We Answered:

If you buy this year, you can get a $8,000 first time home buyer's credit when you file your taxes. I would buy now while interest rates are down, then as you have extra $ you can make over payments as long as you do NOT have a pre-payment penalty.
It is possible as well to shorten the life of your loan, you can shave years off your mortgage by making one extra payment a year. Once you have paid enough principal only extra payments and have 20% equity, the mortgage insurance will be removed. Just make sure to save yourself a cushion of 3 months or more if you can in case of emergancies.

Frederick Said:

Can I refinance FHA to conventional loan?

We Answered:

In this market if you have owned your home for less then 1 year a lender is going to use the purchase price instead of the appraised value.

Alvin Said:

removing mortgage insurance?

We Answered:

Average home value in NY has dropped 10%, you put 10% down and paid for 2 years which might give you 1% gained. Initial years of a loan are mostly interest. Although yo put money in it never equals the amount you paid. PMI is still required on homes with less than 20% down, but then again without a job you cannot refinance. You can spend the money to get it reappraised, but it is doubtful you will reach that majic equity number

Eileen Said:

How do you go about removing an escrow account from your mortgage?

We Answered:

Ask. Some lenders or mortgage servicing companies will allow you to do so if you have strong credit and a stable mortgage payment history.

When I re-finance my home 4 years ago, I asked if we could drop the impound account. They called me back 10 minutes later and said, "Sure!" They pulled escrow account AFTER we had closed on the loan -- we just executed an amemdment to the mortgage contract deleting the impound account. There is no need to re-fi just to remove the impound account though some lenders could require that if they wanted to.

Anna Said:

How do I go about assuming a mortgage that is currently in my name, and my ex-husbands?

We Answered:

In all probability you will have to pay the assumption fee and qualify for the loan.

First I would gather my canceled checks for 18 months, his quit claim deed, and the court documents that awarded the house to you and fax that information to the lender to see if that would work. In some instances this will suffice as you have proved through your canceled checks that you and you alone has been making the payments on the mortgage.

If that does not work you will have to go through the assumption route and qualify for the mortgage.

I hope this has been of some use to you, good luck.

"FIGHT ON"

Mabel Said:

need appraisal to remove PMI on mortgage, sound right ?

We Answered:

That is correct, the mortgage company will not remove that unless you have an appraisal. Technically speaking, the home could have gone down in value since you bought it, and you may not have a 20% equity in the home. The $300 sounds reasonable too. Check with ditech for a list of approved appraisers so that you have an appraisal that they will except.