HOW I SPENT $150 TO SAVE $95 PER MONTH!

Understanding the current value of your property is crucial, because major savings might be hiding right on your doorstep. Mortgage insurance, most often required for homebuyers with less than 20% down payment, and depending on your down payment, credit score and price point, can add up to hundreds of dollars to your monthly mortgage payments.

However, with the appreciation in home values, or if you have made substantial improvements to your property, you might now have more than the required 20% equity, making you eligible to CANCEL this insurance.

One effective and cost-efficient way to determine your property's current value is through a Broker's Price Opinion (BPO). A BPO is a report prepared by a real estate broker or licensed agent, providing an estimated value of your property based on market trends, comparable sales, and the property's condition. While it is less detailed than a full appraisal, a BPO is also significantly less expensive and quicker to obtain.

By obtaining a BPO, you can present an updated valuation to your lender, demonstrating that your property's value has increased sufficiently. If your loan-to-value ratio now meets the lender's criteria (usually 80% or lower), you can request the removal of the mortgage insurance. This can result in substantial monthly savings.

After we purchased our home in 2021 we renovated it adding value to the property, and at the same time home values in our area have appreciated rapidly. It was time to find out if we would qualify so we reached out to our mortgage company. We then received a letter in the mail with a form we needed to return with a $150 check. Just a few days later a broker was at our house taking pictures and another few days later; Mortgage insurance gone!