That's a good point about proactively tracking your LTV. But I'm curious—does anyone know if lenders typically require a formal appraisal when you request to drop PMI early, or do they usually accept something less official like a broker's price opinion? I've heard mixed experiences on this. A friend of mine tried to ditch PMI last year, and their lender insisted on a full appraisal, which ended up costing them a few hundred bucks. Seems like it could vary quite a bit depending on the lender or even the market you're in. Would be interesting to hear how flexible lenders generally are with this...
Most lenders I've worked with usually want a formal appraisal, at least in my market. I've heard of some accepting broker opinions, but it seems pretty rare... maybe depends on the loan type or how close you are to the 80% mark?
Yeah, formal appraisals seem to be the default for most lenders I've dealt with too. I tried going the broker opinion route once, thinking it'd save me some cash... nope. Lender basically laughed it off and said "nice try." 😂 Seems like unless you're clearly well under that magic 80%, they're gonna want the full appraisal circus. Guess it's their way of making sure we don't get too comfortable ditching that pesky mortgage insurance.
Yeah, lenders definitely prefer playing it safe with formal appraisals. They're just covering their bases—especially if you're hovering near that 80% mark. Frustrating, but at least you're getting closer to ditching PMI altogether... hang in there.
Ugh, PMI is the worst. I remember when I was stuck at like 81% LTV, and the lender insisted on a full appraisal. Paid a few hundred bucks just to have someone tell me my house was worth exactly what Zillow said it was—gee, thanks. But hey, once you finally cross that magical 80% line, it's like finding extra fries at the bottom of the bag... totally worth the wait. Hang tight, you're almost there.
