Yeah, appealing PMI can definitely be tricky. A few years back, when our neighborhood values started climbing, we decided to give it a shot. Here's what worked for us:
- Gathered solid comps ourselves—spent a weekend pulling recent sales data from Zillow and Redfin.
- Paid for an independent appraisal (about $400 at the time, but worth it).
- Submitted everything clearly and concisely to our lender.
Honestly, I think the appraisal was key. The lender's initial valuation was way off, and without that independent appraisal, we'd probably still be paying PMI today. It was a hassle, but ditching that monthly fee made a noticeable difference in our budget.
Glad you got yours sorted out—definitely feels like a win when you finally see that extra money staying in your pocket each month.
"Honestly, I think the appraisal was key. The lender's initial valuation was way off..."
This is spot-on advice. Lenders typically rely on automated valuation models (AVMs) initially, and these can lag behind actual market conditions—especially in rapidly appreciating neighborhoods. An independent appraisal provides concrete data that lenders can't easily dispute. I've seen cases where clients successfully removed PMI months earlier than expected just by investing in a thorough appraisal. Definitely worth the upfront cost if you're confident your home's value has increased significantly.
That's a good point about AVMs—they're notoriously slow to catch up, especially in hot markets. But I'd also caution that appraisals aren't always bulletproof either. I've had situations where two different appraisers came back with valuations tens of thousands apart, even within weeks of each other. It can be pretty subjective depending on the comps they choose or how familiar they are with the local nuances.
One thing I'm curious about though... has anyone here had luck challenging an appraisal directly with their lender? I've heard mixed stories—some lenders seem open to reconsideration if you provide solid comps yourself, while others just shut it down immediately. Wondering if it's worth the hassle or if you're better off just biting the bullet and paying for another appraisal down the road.
"Wondering if it's worth the hassle or if you're better off just biting the bullet and paying for another appraisal down the road."
Honestly, I'd be cautious about jumping straight into another appraisal. I've seen clients successfully challenge an appraisal—but only when they had really strong comps and a lender who was actually open-minded. It's definitely lender-dependent. Before shelling out extra money, maybe reach out informally to gauge your lender's openness? Could save you both time and cash in the long run...
Went through something similar last year. The lender seemed open at first, but when push came to shove, they got super picky about comps. Ended up paying for another appraisal anyway, which was annoying. I'd say definitely feel them out first—if they're rigid from the get-go, you're probably just throwing money away. But if they're flexible, could be worth a shot...just don't hold your breath.
